The Clean Electricity Low-Income Communities Bonus Credit Amount Program (Program) is an allocated tax credit program that increases the amount of clean electricity investment tax credits for certain applicable facilities under Internal Revenue Code Section 48E. For each program year, applicants may apply for an allocation of capacity limitation which is distributed across the following categories: Category 1: Located in a Low-Income Community Category 2: Located on Indian Land Category 3: Qualified Low-Income Residential Building Project Category 4: Qualified Low-Income Economic Benefit Project Bonus credit amount The 48E(h) bonus credit increases the 48E Clean Electricity Investment Tax Credit for applicable energy facilities with maximum net output of less than 5 megawatts (MW) by 10% or 20%. A 10% increase is available to applicable facilities that are located in low-income communities or on Indian land. A 20% increase is available to applicable facilities that are part of a qualified low-income residential building project or a qualified low-income economic benefit project. 2025 capacity limitation The Program’s annual capacity limitation of 1.8 gigawatts is divided across each facility category for the 2025 program year, plus any carried over unallocated capacity limitation from the 2024 program year. For the 2025 Program year, the capacity limitation is distributed across the four categories as follows: Category 1: Located in a Low-Income Community 643,560.93 MW are available to facilities located in low-income communities. 1a: 210,890.23 MW 1b: 210,890.23 MW 1c: 110,890.23 MW 1d: 110,890.23 MW Category 2: Located on Indian Land 243,560.93 MW are available to facilities located on Indian Lands. 2a: 121,780.47 MW 2b: 121,780.47 MW Category 3: Qualified Low-Income Residential Building Project 243,560.93 MW are available to Qualified Low-Income Residential Building Projects. 3a: 121,780.47 MW 3b: 121,780.47 MW Category 4: Qualified Low-Income Economic Benefit Project 843,560.93 MW are available to Qualified Low-Income Economic Benefit Projects. 4a: 421,780.47 MW 4b: 421,780.47 MW 50% of the capacity of each category will be reserved for facilities meeting additional selection criteria, such as ownership or geographic location, as outlined in the Final Regulations and Revenue Procedure. Applicants must submit information for each facility for which they are seeking an allocation. Applications will require information such as the applicable category, ownership, location, facility size/capacity, whether the applicant or facility meet additional selection criteria, and other information. 48E(h) is the technology-neutral successor program to the 48(e) Low-Income Communities Bonus Credit program. Eligible facilities under 48E(h) must categorically be non-combustion or non-gasification with a GHG emissions rate not greater than zero, as defined in the 48E Clean Electricity Investment Tax Credit. Applicants must complete a series of attestations provided in the application portal and upload certain documentation (to demonstrate project maturity). Each individual completing an application on behalf of their organization will need a Login.gov account in order to complete an application. How to apply Applications for the 2025 program year will open at 9 a.m. ET on Jan. 16, 2025, and close at 11:59 p.m. ET on Aug. 1, 2025. When the application period opens, there will be an initial 30-day period ending at 11:59 p.m. ET on Feb. 14, 2025, where all applications will be treated as submitted on the same date and at the same time. Applications submitted after this 30-day period will be considered on a rolling basis and only after the review of applications submitted during the 30-day period have been completed and only if capacity is available. Manage existing or create new application Guidance 48E(h): Beginning January 2025 Note: These items may contain information that has been superseded by newer guidance. 48E(h) Final Regulations Revenue Procedure 2025-11 PDF NPRM: Clean Electricity Low-Income Communities Bonus Credit Amount Program Program year Application period - Opens at 9 a.m. ET 30-day initial application window - Closes at 11:59 p.m. ET Rolling application period - Closes at 11:59 p.m. ET program year - Closes by 11:59 p.m. ET 2025 Thursday, Jan. 16, 2025 Friday, Feb. 14, 2025 Friday, Aug. 1, 2025 Wednesday, Dec. 31, 2025 2026 Monday, Feb. 2, 2026 Tuesday, March 3, 2026 Friday, Aug. 7, 2026 Thursday, Dec. 31, 2026 2027 Monday, Feb. 1, 2027 Tuesday, March 2, 2027 Friday, Aug. 6, 2027 Friday, Dec. 31, 2027 2028 Monday, Feb. 7, 2028 Tuesday, March 7, 2028 Friday, Aug. 4, 2028 Sunday, Dec. 31, 2028 2029 Monday, Feb. 5, 2029 Tuesday, March 6, 2029 Friday, Aug. 3, 2029 Monday, Dec. 31, 2029 2030 Monday, Feb. 4, 2030 Tuesday, March 5, 2030 Friday, Aug. 2, 2030 Tuesday, Dec.r 31, 2030 2031 Monday, Feb. 3, 2031 Tuesday, March 4, 2031 Friday, Aug. 1, 2031 Wednesday, Dec. 31, 2031 2032 Monday, Feb.2, 2032 Tuesday, March 2, 2032 Friday, Aug. 6, 2032 Friday, Dec. 31, 2032 Related resources for 48E(h) Credits and deductions under the Inflation Reduction Act of 2022 Applicant User Guide (Coming soon) Applicant Checklist (Coming soon) Program Capacity Dashboard Frequently Asked Questions (Coming soon) Successor-in-Interest Allocation Transfer Request Guide (Coming soon) Maps for Category 1 and Geographic Selection Criteria Eligible Federal Housing Programs for Category 3 (Coming soon) Household Income Limits for Category 4 See 2024 Section 8 Income Limits table to verify income limits at or below the qualifying income level. (updated 4/1/2024) Category 3 Benefits Sharing Statement Template (Optional) (Coming soon) Category 4 Demonstration of Financial Benefits Statement Template (Optional) (Coming soon) Guidance 48(e): For 2023 and 2024 only Final Regulations: Additional Guidance on Low-Income Communities Bonus Credit Program (Aug. 20, 2023) Revenue Procedure 2023-27 (Aug. 10, 2023) Revenue Procedure 2024-19 (March 29, 2024) Notice 2023-17, Initial Guidance Establishing Program to Allocate Environmental Justice Solar and Wind Capacity Limitation Under Section 48(e) (Feb. 13, 2023) Notice 2022-49, Request for Comments on Certain Energy Generation Incentives (Oct. 5, 2022) Related resources for 48(e): For 2023 and 2024 only Applicant User Guide PDF (2024 program year) Applicant Checklist PDF (2024 program year) Frequently Asked Questions PDF Eligible Federal Housing Programs for Category 3 PDF Successor-In-Interest Allocation Transfer Request Guide PDF News releases IR-2024-142, IRS and Treasury issue release capacity limitation carryover amounts for the 2024 program year (May 17, 2024) IR-2023-145, IRS and Treasury issue guidance for owners of solar and wind powered energy facilities in low-income communities for increased energy credit under the Inflation Reduction Act (Aug. 10, 2023) IR-2023-107, Treasury and IRS provide proposed rules on energy projects for low-income communities (May 31, 2023) IR-2023-26, Treasury and IRS provide guidance on energy projects for low-income communities (Feb. 13, 2023) IR-2022-172, IRS asks for comments on upcoming energy guidance (Oct. 5, 2022) Forms and publications Form 3468, Investment Credit Consumer disclosure forms Applicants entering into agreements with consumers as part of a community solar/wind subscription, lease, or power purchase agreement (PPA), must attest that consumer disclosures informing customers of their legal rights and protections have been provided to customers that have signed up and will be provided to future customers, in accordance with program requirements. Applicants are encouraged to use their applicable state-approved disclosure forms where available or may use other forms of similar substance.
