Section 179D of the Energy Policy Act (EPAct) of 2005 (Pub. L. No. 109-58, 119 Stat. 594 2005), signed into law by George Bush on August 8, 2005, creates the Energy Efficient Commercial Buildings Tax Deduction. Section 179D provides a tax deduction for energy-efficient commercial building property that the taxpayer places in service after December 31, 2005, and before January 1, 2008. (click here to see full text)

1. Notice 2006-52 (June 26, 2006) sets forth interim guidance, pending the issuance of regulations, relating to the §179D deduction.

Section 204 of the Tax Relief and Health Care Act of 2006 (Pub. L. No. 109-432, 120 Stat. 2922 2006), passed December 20, 2006, extends the Section 179D deduction through December 31, 2008. (Click here to see full text)

1. Notice 2008-40 (April 7, 2008) clarifies and amplifies Notice 2006-52, 2006-1 C.B. 1175. It adds government-owned buildings to the properties eligible for the Section 179D deduction.

Section 303, Div. B, Title III of the Emergency Economic Stabilization Act of 2008, (Pub. L. No. 110-343, 122 Stat. 3845), passed October 8, 2008, further extends the Section 179D deduction to apply to property placed in service before January 1, 2014. ( Click here to see full text )

1. Notice 2012-26 (March 12, 2012) modifies notices 2006-52, 2006-1 C.B. and 2008-40 and sets forth additional guidance relating to the deduction for energy efficient commercial buildings under Section 179D.

H.R. 5771, the Tax Increase Prevention Act of 2014, Energy Tax Expenditures, Sec. 151, retroactively extended 179D through December 31, 2014. (Click here full text )

H.R. 2029, the Consolidated Appropriations Act, 2016 and the Protecting Americans from Tax Hikes Act of 2015, retroactively extended 179D through December 31, 2015 and prospectively extended 179D through December 31, 2016. (click here to see full text )

1. SEC. 190. EXTENSION OF ENERGY EFFICIENT COMMERCIAL BUILDINGS DEDUCTION
   1. IN GENERAL.—Section 179D(h) is amended by striking ‘‘December 31, 2014’’ and inserting ‘‘December 31, 2016’’. Page 834 of H.R. 2029
   2. EFFECTIVE DATE.—The amendment made by subsection (a) shall apply to property placed in service after December 31, 2014.
2. SEC. 341. UPDATED ASHRAE STANDARDS FOR ENERGY EFFICIENT COMMERCIAL BUILDINGS DEDUCTION
   1. IN GENERAL.—Paragraph (1) of section 179D(c) is amended by striking ‘‘Standard 90.1–2001’’ each place it appears and inserting “Standard 90.1–2007”
   2. EFFECTIVE DATE.—The amendments made by this subsection shall apply to property placed in service after December 31, 2015.