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RPD-41333 State of New Mexico - Taxation and Revenue Department
Rev. 09/23/2021
ADVANCED ENERGY TAX CREDIT
INSTRUCTIONS
Page 2 of 3
CRS-1 return (prior to July 1, 2021), you must file the full- If the New Mexico Environment Department (NMED) issues
page version of the New Mexico CRS-1 Form. Complete a certificate of eligibility to a taxpayer stating that the facility
the CRS-1 Long Form and supplemental forms, if any, ac- is a qualified generating facility and the taxpayer does not
cording to the instructions. Do not reduce the tax liability sequester or control carbon dioxide emissions to the extent
on the CRS-1 Long Form to reflect the advanced energy required by January 1, 2017, or 18 months after the com-
tax credit claimed. For periods starting July 1, 2021, this mercial operation date of the qualified generating facility, the
credit is claimed on the gross receipts tax (TRD-41413) taxpayer’s certification as a qualified generating facility shall
less any taxes collected with respect to local option gross
be revoked by NMED and the taxpayer shall refund to the
receipts taxes, compensating tax (TRD-41412), and with-
state tax credits granted. If the taxpayer demonstrates to the
holding taxes (TRD-41409 or TRD-41414). Instead, un-
derpay the tax liability shown on the return by the amount NMED that the taxpayer made every effort to sequester or
of tax credit claimed and attach a completed Form RPD- control carbon dioxide emissions to the extent feasible and
41334, Advanced Energy Tax Credit Claim Form. Do not the facility’s inability to meet the sequestration requirements
enter a negative number or claim more credit than the tax of a qualified generating facility was beyond the facility’s
due shown on the CRS-1 Long Form for the current report control, NMED shall determine, after a public hearing, the
period. When computing the amount of advanced energy amount of the tax credit that should be refunded. NMED, in
combined reporting tax credit that may be claimed against its determination, shall consider the environmental perfor-
the gross receipts reported on a return, compute the credit mance of the facility and the extent to which the inability to
at 3.9% of the gross receipts if the taxpayer’s business is meet the sequestration requirements of a qualified generat-
located in a municipality, and 5.125% of the gross receipts if ing facility was in the control of the taxpayer. The refund as
the taxpayer’s business location is anywhere else within or determined by NMED shall be paid within 180 days following
outside New Mexico. a final order by NMED.
To claim approved advanced energy tax credit against Form IMPORTANT DEFINITIONS:
PIT-1, attach a completed Form RPD-41334, Advanced En- “Eligible generation plant costs” means expenditures for
ergy Tax Credit Claim Form, to Form PIT-1, New Mexico the development and construction of a qualified generating
Personal Income Tax Return, or to Form FID-1, New Mexi- facility, including permitting; site characterization and assess-
co Fiduciary Income Tax Return. Enter the amount of credit ment; engineering; design; carbon dioxide capture, treatment,
claimed against the current return on Schedule PIT-CR or compression, transportation and sequestration; site and
FID-CR. Do not claim more credit than the tax due shown equipment acquisition; and fuel supply development used
on Form PIT-1 or FID-1. Married individuals who file sepa- directly and exclusively in a qualified generating facility;
rate returns for a tax year in which they could have filed a
joint return may each claim only one-half of the advanced
Value of “eligible generation plant costs”. The value of
energy income tax credit that would have been allowed on
a joint return. eligible generation plant costs is the adjusted basis estab-
lished for the qualified generating facility under the applicable
To claim approved advanced energy tax credit against provisions of the Internal Revenue Code of 1986.
Forms CIT-1 or S-Corp, attach a completed Form RPD-
41334, Advanced Energy Tax Credit Claim Form, to Form Eligible generation plant cost must be “subject to depre-
CIT-1, New Mexico Corporate Income and Franchise Tax ciation”. For purposes of the advanced energy tax credit,
Return, or to Form S-Corp, New Mexico Subchapter S Cor- eligible generation plant costs must be subject to deprecia-
porate Income and Franchise Tax Return. Enter the amount tion. “Subject to depreciation” means the taxpayer’s federal
of credit claimed against the current return on Schedule income tax return must include a depreciation expense with
CIT-CR or S-Corp-CR. Do not claim more credit than the respect to the eligible generation plant costs for which an
corporate income tax due shown on Form CIT-1, or more advanced energy tax credit is sought or claimed. Equipment
than the corporate income tax due and withholding tax depreciated under the accelerated cost recovery system,
due shown on Form S-Corp. The credit cannot be applied Internal Revenue Code Section 168, and property for which
against any franchise tax due. the taxpayer makes an election under Internal Revenue Code
Section 179 is “subject to depreciation”.
Mail the return and the claim form, RPD-41334, to the ad-
dress on the tax return to which you wish to apply the credit.
“Qualified generating facility” is a facility that begins con-
For assistance call (505) 476-3683.
struction no later than December 31, 2015, and is:
1. a solar thermal electric generating facility that begins
RECAPTURE:
construction on or after July 1, 2007, and that may include
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