Income Tax & Accounting Essentials for Power Producers

Applicable to traditional and renewable energy generation

December 9-10, 2021 | Online ::

Income taxes impact various sectors within an industry in different ways.  This is especially true within the many sectors of the power industry.  Independent power producers, in particular, face income tax issues specific to their category and function within the industry.  Whether certain tax incentives are in play or sweeping tax law changes trigger new challenges and opportunities, independent power producers must properly address significant issues and nuances not encountered by their counterparts in other segments of the power industry. 

This course provides a high-level summary of common income tax issues relevant to power producers in general, and independent power producers more directly.  It will assist owners, developers, lenders, tax advisors, investors, and accountants to gather a baseline, working knowledge of salient income tax issues.  The program will also assess potential opportunities specifically applicable to power producers of all generation types –traditional (fossil), renewable, and alternative energy.

Learning Outcomes

The course content will:

• Examine ownership structures, changes and transactions and applicable tax measures associated with IPP/merchant assets
• Assess the income tax issues associated with development, financing, interconnection and construction of IPP/merchant assets
• Assess the income tax issues associated with ownership, maintenance and depreciation of IPP/merchant assets
• Analyze the income tax issues of various contract types associated with IPP/merchant assets, such as power purchase agreements (PPAs), build transfer agreements (BTAs) and leases
• Discuss the impact of federal policy on income tax and accounting processes
• Identify industry trends applicable to IPP/merchant assets and their prospective tax implications
• Evaluate federal legislation under review or recently enacted applicable to IPP/merchant assets and their prospective tax implications

Thursday, December 9, 2021 : Central Time

9:00 – 9:15 a.m. :: Overview & Introductions

9:15 – 10:30 a.m. :: Program Content

• Basic Concepts
• Tax terminology
• Legal entity types

10:30 – 10:45 a.m. :: Morning Break

10:45 a.m. – 12:15 p.m. :: Program Content

• Ownership Structures
• Legal entity considerations
• Large ownership groups
• Tax efficiency
• Ownership Changes / Transactions
• Acquisitions
• Mergers
• Restructurings

12:15 – 1:00 p.m. :: Lunch Break

1:00 – 4:45 p.m. :: Program Content (Includes Break)

• Power Plants – Income Tax Issues
• Development
  • Developers
  • Treatment of costs
• Financing
  • Debt
  • Equity
  • Hybrid / other
• Construction
  • Capitalization
  • Interest / carrying costs
• Interconnection  
  • Cost recovery
• Depreciation  
  • Methods
  • Tax benefit
• Maintenance
  • Routine / planned outages
  • Major maintenance
  • Unplanned outages
  • Spare parts
• Regulatory 
  • Example – RGGI
• Customer  
• Derivatives
  • Power / fuel
  • Interest
  • Hedge accounting
• Various contract types
  • Power purchase agreements (PPAs)
  • Build Transfer Agreements (BTAs)
  • Leases
  • Other
    • Capacity
    • Tolling

4:45 p.m. :: Course Adjourns for Day

Friday, December 10, 2021 : Central Time

9:00 – 10:30 a.m. :: Program Content

• Examining the Impact of Policy on Tax Accounting Processes
• State and Local Tax Elements
• Industry Trends
• New plants
• Credits and incentives
• Hybrid and storage

10:30 – 10: 45 a.m. :: Morning Break

10:45 a.m. – 12:15 p.m. :: Program Content

• Federal Legislation Under Review or Recently Enacted*
• The Energy Sector Innovation Credit(ESIC) Act
• Energy Infrastructure Act
• Clean Energy for America Act
• GREEN Act of 2021
• 2022 Budget Reconciliation
• Incentivizing Offshore Wind Power Act
• Offshore Wind Incentives for New Development Act
• Renewable Energy Investment Act
• Save America’s Clean Energy Jobs Act
• Energy Storage Tax Incentive and Deployment Act

* References subject to change and consolidation

12:15 p.m. :: Program Adjournment

Al Boudreau is a Partner in the tax practice at Firley, Moran, Freer & Eassa PC. 

His public accounting experience spans two decades, including 7 years at the New York City office of a “Big 4” accounting firm, providing tax and tax accounting services.  Mr. Boudreau’s experience includes corporate, partnership, multistate, and international tax compliance, advisory, and tax accounting services for clients in the energy, manufacturing, and financial services industries.  He earned a Bachelor of Science Degree in Accounting and Masters in Taxation from the State University of New York at Albany.  Mr. Boudreau is an IRS Enrolled Agent.

Forrest David Milder is a partner in the Boston office of Nixon Peabody LLP. 

His practice is focused on tax equity investing, particularly in the renewable energy space.  He is the author of more than 70 published articles on investing in renewables.  Mr. Milder has more than 30 years’ experience in the tax aspects of project finance, particularly renewable energy (including solar, wind, geothermal, and biofuels), housing, historic rehabilitations, and new markets.  He has counseled clients in tax matters relating to partnerships and limited liability companies; tax-exempt organizations and unrelated business income; business formation, operation, and disposition; executive compensation; and tax-exempt bonds and other structured financial products.  Mr. Milder has earned multiple degrees relevant to his practice specialties:  MIT (phi beta kappa), where he also has a masters; a law degree from Harvard; and a masters in taxation from Boston University.  

Peter Lawrence is Director of Public Policy & Government Relations for Novogradac & Company LLP.

In this role, he coordinates the firm’s public policy and government relations work on low-income housing tax credit (LIHTC), the new markets tax credit (NMTC), the historic rehabilitation tax credit (HTC), renewable energy tax credits, and U.S. Housing & Urban Development programs. Prior to joining Novogradac & Company, Mr. Lawrence was the senior director of public policy and government affairs for Enterprise Community Partners where he led the execution of Enterprise’s policy and advocacy agenda. His primary issue responsibilities were tax (including LIHTC and NMTC advocacy as well as tax incentives to promote green and sustainable building), affordable housing preservation and rental housing policy. While at Enterprise, he helped found the Affordable Rental Housing A.C.T.I.O.N. (A Call To Invest in Our Neighborhoods) Campaign, the big tent industry coalition bringing investors, syndicators, for-profit and nonprofit developers, and other LIHTC professionals in all 50 states together to advocate for the credit.

We will be using Microsoft Teams to facilitate your participation in the upcoming event. You do not need to have an existing Teams account in order to participate in the broadcast – the course will play in your browser and you will have the option of using a microphone to speak with the room and ask questions, or type any questions in via the chat window and our on-site representative will relay your question to the instructor.

• IMPORTANT NOTE: After November 30 you will not be able to join a Teams meeting using Internet Explorer 11. Microsoft recommends downloading and installing the Teams app if possible. You may also use the Edge browser or Chrome.
• You will receive a meeting invitation will include a link to join the meeting.
• Separate meeting invitations will be sent for the morning and afternoon sessions of the course.
  • You will need to join the appropriate meeting at the appropriate time.
• If you are using a microphone, please ensure that it is muted until such time as you need to ask a question.
• The remote meeting connection will be open approximately 30 minutes before the start of the course. We encourage you to connect as early as possible in case you experience any unforeseen problems.

REGISTER NOW FOR THIS EVENT:

Income Tax & Accounting Essentials for Power Producers

December 9-10, 2021 | Online

Your registration may be transferred to a member of your organization up to 24 hours in advance of the event. Cancellations must be received on or before November 05, 2021 in order to be refunded and will be subject to a US $195.00 processing fee per registrant. No refunds will be made after this date. Cancellations received after this date will create a credit of the tuition (less processing fee) good toward any other EUCI event. This credit will be good for six months from the cancellation date. In the event of non-attendance, all registration fees will be forfeited. In case of conference cancellation, EUCIs liability is limited to refund of the event registration fee only. For more information regarding administrative policies, such as complaints and refunds, please contact our offices at 303-770-8800

Credits

EUCI is accredited by the International Accreditors for Continuing Education and Training (IACET) and offers IACET CEUs for its learning events that comply with the ANSI/IACET Continuing Education and Training Standard. IACET is recognized internationally as a standard development organization and accrediting body that promotes quality of continuing education and training.

EUCI is authorized by IACET to offer 1.0 CEUs for this event.

Requirements For Successful Completion Of Program

Participants must log in each day and be in attendance for the entirety of the event to be eligible for continuing education credit.

Instructional Methods

Case studies, PowerPoint presentations, and panel discussions will be used in this program.

Upon successful completion of this event, program participants interested in receiving CPE credits will receive a certificate of completion.

Course CPE Credits: 11.0
There is no prerequisite for this Course.
Program field of study: Specialized Knowledge
Program Level: Basic
Delivery Methood: Group-Live
Advanced Preperation: None

EUCI is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its web site: www.nasbaregistry.org

Who Should Attend

• Merchant and independent power producers
• Traditional (fossil) energy project developers, asset owners and operators
• Renewable energy project developers, asset owners and operators
• Tax and consulting firms associated with thermal and renewable energy development
• Lenders and related financial groups associated with thermal and renewable projects
• Investors in traditional (fossil) and renewable energy projects