Tax Brief Issue 10: Updated Energy Credits, New Excise Tax, and Key 9100 Reliefs

01. Updated Energy Community Lists & Credits

• Taxpayers can use updated energy community lists (Notice 2026-39 Appendices 1, 2, 3) for bonus credit amounts under IRC Sections 45, 45Y, 48, and 48E.
• Projects in newly qualifying census tracts (Appendix 3) are eligible for the bonus credit for taxable years starting after December 31, 2022.

Source: IRS Internal Revenue Bulletin · 2026-06-29

02. LLC Late 8832 Election Relief

• The IRS granted a 120-day extension, effective March 26, 2026, for an LLC to file Form 8832 electing corporate classification under § 301.9100-3.

Source: IRS Written Determinations · 2026-06-26

03. Form 720: New Excise Tax, PCOR Fee

• A new 1% excise tax on certain remittance transfers (IRC Section 4475) is effective for transfers occurring after 2025.
• The PCOR fee increases to $3.84 per covered life for policy and plan years ending on or after October 1, 2025.

Source: IRS Tax Instructions and Publications · 2026-06-26

04. Tax-Exempt Entity Depreciation Election

• Tax-exempt controlled entities may elect under IRC Section 168(h)(6)(F)(ii) not to be treated as tax-exempt for depreciation, avoiding the Alternative Depreciation System.
• The IRS may grant an extension under Treasury Regulation Section 301.9100-3 for this election if reasonable action and no government prejudice.

Source: IRS Written Determinations · 2026-06-26

05. Late Opportunity Zone QOF Election

• The IRS granted an extension under sections 301.9100-1 and 301.9100-3 for a taxpayer to self-certify as a QOF by filing Form 8996.
• Relief was granted due to reasonable reliance on a qualified tax professional and no prejudice to government interests.

Source: IRS Written Determinations · 2026-06-26