- 7 -
Reconciliation Act of 1990 (OBRA), Pub. L. 101-508, sec.
11801(a)(1), 104 Stat. 1388-520.
Trusts are eligible for the energy tax credit after November
4, 1990, if they place qualifying energy property in service
during the tax year. Sec. 38. Before enactment of OBRA, section
48(f) required trusts to apportion a qualified investment in
residential energy property between the trust and its
beneficiaries on the basis of the trust’s income allocable to
each. Section 50(d)(6) provides that section 48(f), as was in
effect on the day before enactment of OBRA, applies for purposes
of calculating the energy tax credit for certain estates and
trusts after OBRA.
2. Richter v. Commissioner
In Richter v. Commissioner, T.C. Memo. 2002-90,2 as here, a
taxpayer claimed an energy tax credit passed through from HEH.
The taxpayer in Richter v. Commissioner, supra, contended that
HEH was entitled to an energy tax credit in 1995 for purchasing
solar energy systems from Mercury Solar and, that, as a
beneficiary of HEH, he was entitled to a pass through of $513 of
HEH’s energy credit in 1995. The taxpayer’s arrangement with HEH
and Mercury Solar in Richter is substantially similar to
2 The taxpayer appealed Richter v. Commissioner, T.C. Memo.
2002-90, to the U.S. Court of Appeals for the Ninth Circuit,
which dismissed the appeal under Fed. R. App. P. 42(b). Richter
v. Commissioner, No. 02-72253 (9th Cir., Oct. 2, 2002).
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 Next
Last modified: May 25, 2011