The Geothermal Tax Parity Act amends the federal tax code to give geothermal energy companies the same tax treatment currently available to oil and gas companies. Specifically, the bill allows companies to amortize (spread out deductions for) geological and geophysical exploration and development costs related to geothermal deposits, and exempts working interests in geothermal properties from passive loss limitations that normally restrict how much investors can deduct from other income. These changes apply to amounts paid or incurred in taxable years after the bill becomes law. The legislation affects geothermal energy companies, investors in geothermal projects, and potentially consumers by making geothermal energy development more financially attractive. No specific federal funding is allocated in the bill, as it operates through the tax code by reducing tax burdens on the geothermal industry.
Take Action
Your position
Add a comment
to comment on this bill.
Annotate the text
Highlight any passage on the Summary or Full Text tab to attach a note. Annotations appear on the Annotations tab.