®Transferability structured under Section 6418
ITC transfers currently trade at roughly 90 to 95 cents on the dollar and PTC transfers can run even higher, and structuring here covers the buyer diligence and documentation a transfer requires.
Services for the solar trade
Tax Credit Monetization
Support navigating ITC and PTC transferability, domestic content bonuses and FEOC rules that now shape whether a project's credit position holds up.
Tax Credit Monetization
Support navigating ITC and PTC transferability, domestic content bonuses and FEOC rules that now shape whether a project's credit position holds up.
Transferability, bonuses and FEOC screening
Domestic content bonus qualification
The domestic content bonus adds meaningfully to a project's credit value, with required cost-ratio thresholds that step up over time, and sourcing documentation gets built to support that qualification rather than assembled after an audit request.
FEOC and material assistance screening
Prohibited foreign entity and material assistance rules now apply to projects beginning construction after the applicable statutory dates, and screening here checks a project's supply chain against those thresholds before they become a disqualifying surprise.
Monetizing credits without tax equity
Monetize credits without a tax equity partnership
Transferability offers a more direct path to credit value for projects that don't fit a traditional tax equity structure.
Qualify for the domestic content bonus with documentation in hand
Sourcing records line up with what the bonus requires from the start of procurement, not reconstructed for an audit.
Your questions, answered.
What is tax credit transferability and how does it work for solar projects?
Transferability, established under Section 6418, lets a project owner sell eligible clean-energy tax credits such as the ITC or PTC to an unrelated buyer for cash. It gives developers a way to monetize credits without assembling a traditional tax equity partnership. The transfer has to be documented and meet IRS requirements, so structuring and substantiation matter to whether the position holds.
How does the domestic content bonus increase a project's credit value?
The domestic content bonus adds an incremental credit on top of the base ITC or PTC when a project meets thresholds for U.S.-manufactured steel, iron, and manufactured products. Qualifying can raise the credit percentage meaningfully, which is why the documentation behind it matters. The bonus only holds up if you can substantiate the domestic content with manufacturer certifications and cost data.
What do FEOC material assistance rules mean for tax credit eligibility?
FEOC rules can reduce or disqualify a project's credit when too much of its value comes from prohibited foreign entities of concern, through what is often framed as material assistance from those sources. In practice that means the origin of cells, wafers, and key materials can affect eligibility, not just where the module was assembled. Screening the supply chain and keeping sourcing documentation is how a project protects its credit position.