Editor's Note:
Pub. L. 117-169,
Sec. 13502, added Sec. 45X, below, effective for components produced
and sold after December 31, 2022.
I.R.C. § 45X(a) In General
I.R.C. § 45X(a)(1) Allowance Of Credit —
For purposes of section 38,
the advanced manufacturing production credit for any taxable year
is an amount equal to the sum of the credit amounts determined under
subsection (b) with respect to each eligible component which is—
I.R.C. § 45X(a)(1)(A) —
produced by the taxpayer, and
I.R.C. § 45X(a)(1)(B) —
during the taxable year, sold by
such taxpayer to an unrelated person.
I.R.C. § 45X(a)(2) Production And Sale Must Be In Trade Or Business —
Any eligible component produced and
sold by the taxpayer shall be taken into account only if the production
and sale described in paragraph (1) is in a trade or business of the
taxpayer.
I.R.C. § 45X(a)(3) Unrelated Person
I.R.C. § 45X(a)(3)(A) In General —
For purposes of this subsection,
a taxpayer shall be treated as selling components to an unrelated
person if such component is sold to such person by a person related
to the taxpayer.
I.R.C. § 45X(a)(3)(B) Election
I.R.C. § 45X(a)(3)(B)(i) In General —
At the election of the taxpayer (in
such form and manner as the Secretary may prescribe), a sale of components
by such taxpayer to a related person shall be deemed to have been
made to an unrelated person.
I.R.C. § 45X(a)(3)(B)(ii) Requirement —
As a condition of, and prior to,
any election described in clause (i), the Secretary may require such
information or registration as the Secretary deems necessary for purposes
of preventing duplication, fraud, or any improper or excessive amount
determined under paragraph (1).
I.R.C. § 45X(b) Credit Amount
I.R.C. § 45X(b)(1) In General —
Subject to paragraph (3), the amount determined under
this subsection with respect to any eligible component, including
any eligible component it incorporates, shall be equal to—
I.R.C. § 45X(b)(1)(A) —
in the case of a thin film photovoltaic
cell or a crystalline photovoltaic cell, an amount equal to the product
of—
I.R.C. § 45X(b)(1)(A)(i) —
4 cents, multiplied by
I.R.C. § 45X(b)(1)(A)(ii) —
the capacity of such cell (expressed
on a per direct current watt basis),
I.R.C. § 45X(b)(1)(B) —
in the case of a photovoltaic wafer,
$12 per square meter,
I.R.C. § 45X(b)(1)(C) —
in the case of solar grade polysilicon,
$3 per kilogram,
I.R.C. § 45X(b)(1)(D) —
in the case of a polymeric backsheet,
40 cents per square meter,
I.R.C. § 45X(b)(1)(E) —
in the case of a solar module, an
amount equal to the product of—
I.R.C. § 45X(b)(1)(E)(i) —
7 cents, multiplied by
I.R.C. § 45X(b)(1)(E)(ii) —
the capacity of such module (expressed
on a per direct current watt basis),
I.R.C. § 45X(b)(1)(F) —
in the case of a wind energy component—
I.R.C. § 45X(b)(1)(F)(i) —
if such component is a related offshore
wind vessel, an amount equal to 10 percent of the sales price of such
vessel, and
I.R.C. § 45X(b)(1)(F)(ii) —
if such component is not described
in clause (i), an amount equal to the product of—
I.R.C. § 45X(b)(1)(F)(ii)(I) —
the applicable amount with respect
to such component (as determined under paragraph (2)(A)), multiplied
by
I.R.C. § 45X(b)(1)(F)(ii)(II) —
the total rated capacity (expressed
on a per watt basis) of the completed wind turbine for which such
component is designed,
I.R.C. § 45X(b)(1)(G) —
in the case of a torque tube, 87
cents per kilogram,
I.R.C. § 45X(b)(1)(H) —
in the case of a structural fastener,
$2.28 per kilogram,
I.R.C. § 45X(b)(1)(I) —
in the case of an inverter, an amount
equal to the product of—
I.R.C. § 45X(b)(1)(I)(i) —
the applicable amount with respect
to such inverter (as determined under paragraph (2)(B)), multiplied
by
I.R.C. § 45X(b)(1)(I)(ii) —
the capacity of such inverter (expressed
on a per alternating current watt basis),
I.R.C. § 45X(b)(1)(J) —
in the case of electrode active materials,
an amount equal to 10 percent of the costs incurred by the taxpayer
with respect to production of such materials,
I.R.C. § 45X(b)(1)(K) —
in the case of a battery cell, an
amount equal to the product of—
I.R.C. § 45X(b)(1)(K)(i) —
$35, multiplied by
I.R.C. § 45X(b)(1)(K)(ii) —
subject to paragraph (4), the capacity
of such battery cell (expressed on a kilowatt-hour basis),
I.R.C. § 45X(b)(1)(L) —
in the case of a battery module,
an amount equal to the product of—
I.R.C. § 45X(b)(1)(L)(i) —
$10 (or, in the case of a battery
module which does not use battery cells, $45), multiplied by
I.R.C. § 45X(b)(1)(L)(ii) —
subject to paragraph (4), the capacity
of such battery module (expressed on a kilowatt-hour basis), and
I.R.C. § 45X(b)(1)(M) —
in the case of any applicable critical
mineral, an amount equal to 10 percent of the costs incurred by the
taxpayer with respect to production of such mineral.
I.R.C. § 45X(b)(2) Applicable Amounts
I.R.C. § 45X(b)(2)(A) Wind Energy Components —
For purposes of paragraph (1)(F)(ii),
the applicable amount with respect to any wind energy component shall
be—
I.R.C. § 45X(b)(2)(A)(i) —
in the case of a blade, 2 cents,
I.R.C. § 45X(b)(2)(A)(ii) —
in the case of a nacelle, 5 cents,
I.R.C. § 45X(b)(2)(A)(iii) —
in the case of a tower, 3 cents,
and
I.R.C. § 45X(b)(2)(A)(iv) —
in the case of an offshore wind foundation—
I.R.C. § 45X(b)(2)(A)(iv)(I) —
which uses a fixed platform, 2 cents,
or
I.R.C. § 45X(b)(2)(A)(iv)(II) —
which uses a floating platform, 4
cents.
I.R.C. § 45X(b)(2)(B) Inverters —
For purposes of paragraph (1)(I),
the applicable amount with respect to any inverter shall be—
I.R.C. § 45X(b)(2)(B)(i) —
in the case of a central inverter,
0.25 cents,
I.R.C. § 45X(b)(2)(B)(ii) —
in the case of a utility inverter,
1.5 cents,
I.R.C. § 45X(b)(2)(B)(iii) —
in the case of a commercial inverter,
2 cents,
I.R.C. § 45X(b)(2)(B)(iv) —
in the case of a residential inverter,
6.5 cents, and
I.R.C. § 45X(b)(2)(B)(v) —
in the case of a microinverter or
a distributed wind inverter, 11 cents.
I.R.C. § 45X(b)(3) Phase Out
I.R.C. § 45X(b)(3)(A) In General —
Subject to subparagraph (C), in the
case of any eligible component sold after December 31, 2029, the amount
determined under this subsection with respect to such component shall
be equal to the product of—
I.R.C. § 45X(b)(3)(A)(i) —
the amount determined under paragraph
(1) with respect to such component, as determined without regard to
this paragraph, multiplied by
I.R.C. § 45X(b)(3)(A)(ii) —
the phase out percentage under subparagraph
(B).
I.R.C. § 45X(b)(3)(B) Phase Out Percentage —
The phase out percentage under this
subparagraph is equal to—
I.R.C. § 45X(b)(3)(B)(i) —
in the case of an eligible component
sold during calendar year 2030, 75 percent,
I.R.C. § 45X(b)(3)(B)(ii) —
in the case of an eligible component
sold during calendar year 2031, 50 percent,
I.R.C. § 45X(b)(3)(B)(iii) —
in the case of an eligible component
sold during calendar year 2032, 25 percent,
I.R.C. § 45X(b)(3)(B)(iv) —
in the case of an eligible component
sold after December 31, 2032, 0 percent.
I.R.C. § 45X(b)(3)(C) Exception —
For purposes of determining the amount
under this subsection with respect to any applicable critical mineral,
this paragraph shall not apply.
I.R.C. § 45X(b)(4) Limitation On Capacity Of Battery Cells And Battery Modules
I.R.C. § 45X(b)(4)(A) In General —
For purposes of subparagraph (K)(ii)
or (L)(ii) of paragraph (1), the capacity determined under either
subparagraph with respect to a battery cell or battery module shall
not exceed a capacity-to-power ratio of 100:1.
I.R.C. § 45X(b)(4)(B) Capacity-To-Power Ratio —
For purposes of this paragraph, the
term “capacity-to-power ratio” means, with respect to
a battery cell or battery module, the ratio of the capacity of such
cell or module to the maximum discharge amount of such cell or module.
I.R.C. § 45X(c) Definitions —
For purposes of this section—
I.R.C. § 45X(c)(1) Eligible Component
I.R.C. § 45X(c)(1)(A) In General —
The term “eligible component”
means—
I.R.C. § 45X(c)(1)(A)(i) —
any solar energy component,
I.R.C. § 45X(c)(1)(A)(ii) —
any wind energy component,
I.R.C. § 45X(c)(1)(A)(iii) —
any inverter described in subparagraphs
(B) through (G) of paragraph (2),
I.R.C. § 45X(c)(1)(A)(iv) —
any qualifying battery component,
and
I.R.C. § 45X(c)(1)(A)(v) —
any applicable critical mineral.
I.R.C. § 45X(c)(1)(B) Application With Other Credits —
The term “eligible component”
shall not include any property which is produced at a facility if
the basis of any property which is part of such facility is taken
into account for purposes of the credit allowed under section 48C after the date of the enactment
of this section.
I.R.C. § 45X(c)(2) Inverters
I.R.C. § 45X(c)(2)(A) In General —
The term “inverter” means
an end product which is suitable to convert direct current electricity
from 1 or more solar modules or certified distributed wind energy
systems into alternating current electricity.
I.R.C. § 45X(c)(2)(B) Central Inverter —
The term “central inverter”
means an inverter which is suitable for large utility-scale systems
and has a capacity which is greater than 1,000 kilowatts (expressed
on a per alternating current watt basis).
I.R.C. § 45X(c)(2)(C) Commercial Inverter —
The term “commercial inverter”
means an inverter which—
I.R.C. § 45X(c)(2)(C)(i) —
is suitable for commercial or utility-scale
applications,
I.R.C. § 45X(c)(2)(C)(ii) —
has a rated output of 208, 480, 600,
or 800 volt three-phase power, and
I.R.C. § 45X(c)(2)(C)(iii) —
has a capacity which is not less
than 20 kilowatts and not greater than 125 kilowatts (expressed on
a per alternating current watt basis).
I.R.C. § 45X(c)(2)(D) Distributed Wind Inverter
I.R.C. § 45X(c)(2)(D)(i) In General —
The term “distributed wind
inverter” means an inverter which—
I.R.C. § 45X(c)(2)(D)(i)(I) —
is used in a residential or non-residential
system which utilizes 1 or more certified distributed wind energy
systems, and
I.R.C. § 45X(c)(2)(D)(i)(II) —
has a rated output of not greater
than 150 kilowatts.
I.R.C. § 45X(c)(2)(D)(ii) Certified Distributed Wind Energy System —
The term “certified distributed
wind energy system” means a wind energy system which is certified
by an accredited certification agency to meet Standard 9.1-2009 of
the American Wind Energy Association (including any subsequent revisions
to or modifications of such Standard which have been approved by the
American National Standards Institute).
I.R.C. § 45X(c)(2)(E) Microinverter —
The term “microinverter”
means an inverter which—
I.R.C. § 45X(c)(2)(E)(i) —
is suitable to connect with one solar
module,
I.R.C. § 45X(c)(2)(E)(ii) —
has a rated output of—
I.R.C. § 45X(c)(2)(E)(ii)(I) —
120 or 240 volt single-phase power,
or
I.R.C. § 45X(c)(2)(E)(ii)(II) —
208 or 480 volt three-phase power,
and
I.R.C. § 45X(c)(2)(E)(iii) —
has a capacity which is not greater
than 650 watts (expressed on a per alternating current watt basis).
I.R.C. § 45X(c)(2)(F) Residential Inverter —
The term “residential inverter”
means an inverter which—
I.R.C. § 45X(c)(2)(F)(i) —
is suitable for a residence,
I.R.C. § 45X(c)(2)(F)(ii) —
has a rated output of 120 or 240
volt single-phase power, and
I.R.C. § 45X(c)(2)(F)(iii) —
has a capacity which is not greater
than 20 kilowatts (expressed on a per alternating current watt basis).
I.R.C. § 45X(c)(2)(G) Utility Inverter —
The term “utility inverter”
means an inverter which—
I.R.C. § 45X(c)(2)(G)(i) —
is suitable for commercial or utility-scale
systems,
I.R.C. § 45X(c)(2)(G)(ii) —
has a rated output of not less than
600 volt three-phase power, and
I.R.C. § 45X(c)(2)(G)(iii) —
has a capacity which is greater than
125 kilowatts and not greater than 1000 kilowatts (expressed on a
per alternating current watt basis).
I.R.C. § 45X(c)(3) Solar Energy Component
I.R.C. § 45X(c)(3)(A) In General —
The term “solar energy component”
means any of the following:
I.R.C. § 45X(c)(3)(A)(i) —
Solar modules.
I.R.C. § 45X(c)(3)(A)(ii) —
Photovoltaic cells.
I.R.C. § 45X(c)(3)(A)(iii) —
Photovoltaic wafers.
I.R.C. § 45X(c)(3)(A)(iv) —
Solar grade polysilicon.
I.R.C. § 45X(c)(3)(A)(v) —
Torque tubes or structural fasteners.
I.R.C. § 45X(c)(3)(A)(vi) —
Polymeric backsheets.
I.R.C. § 45X(c)(3)(B) Associated Definitions
I.R.C. § 45X(c)(3)(B)(i) Photovoltaic Cell —
The term “photovoltaic cell”
means the smallest semiconductor element of a solar module which performs
the immediate conversion of light into electricity.
I.R.C. § 45X(c)(3)(B)(ii) Photovoltaic Wafers —
The term “photovoltaic wafer”
means a thin slice, sheet, or layer of semiconductor material of at
least 240 square centimeters—
I.R.C. § 45X(c)(3)(B)(ii)(I) —
produced by a single manufacturer
either—
I.R.C. § 45X(c)(3)(B)(ii)(I)(aa) —
directly from molten or evaporated
solar grade polysilicon or deposition of solar grade thin film semiconductor
photon absorber layer, or
I.R.C. § 45X(c)(3)(B)(ii)(I)(bb) —
through formation of an ingot from
molten polysilicon and subsequent slicing, and
I.R.C. § 45X(c)(3)(B)(ii)(II) —
which comprises the substrate or
absorber layer of one or more photovoltaic cells.
I.R.C. § 45X(c)(3)(B)(iii) Polymeric Backsheet —
The term “polymeric backsheet”
means a sheet on the back of a solar module which acts as an electric
insulator and protects the inner components of such module from the
surrounding environment.
I.R.C. § 45X(c)(3)(B)(iv) Solar Grade Polysilicon —
The term “solar grade polysilicon”
means silicon which is—
I.R.C. § 45X(c)(3)(B)(iv)(I) —
suitable for use in photovoltaic
manufacturing, and
I.R.C. § 45X(c)(3)(B)(iv)(II) —
purified to a minimum purity of 99.999999
percent silicon by mass.
I.R.C. § 45X(c)(3)(B)(v) Solar Module —
The term “solar module”
means the connection and lamination of photovoltaic cells into an
environmentally protected final assembly which is—
I.R.C. § 45X(c)(3)(B)(v)(I) —
suitable to generate electricity
when exposed to sunlight, and
I.R.C. § 45X(c)(3)(B)(v)(II) —
ready for installation without an
additional manufacturing process.
I.R.C. § 45X(c)(3)(B)(vi) Solar Tracker —
The term “solar tracker”
means a mechanical system that moves solar modules according to the
position of the sun and to increase energy output.
I.R.C. § 45X(c)(3)(B)(vii) Solar Tracker Components
I.R.C. § 45X(c)(3)(B)(vii)(I) Torque Tube —
The term “torque tube”
means a structural steel support element (including longitudinal purlins)
which—
I.R.C. § 45X(c)(3)(B)(vii)(I)(aa) —
is part of a solar tracker,
I.R.C. § 45X(c)(3)(B)(vii)(I)(bb) —
is of any cross-sectional shape,
I.R.C. § 45X(c)(3)(B)(vii)(I)(cc) —
may be assembled from individually
manufactured segments,
I.R.C. § 45X(c)(3)(B)(vii)(I)(dd) —
spans longitudinally between foundation
posts,
I.R.C. § 45X(c)(3)(B)(vii)(I)(ee) —
supports solar panels and is connected
to a mounting attachment for solar panels (with or without separate
module interface rails), and
I.R.C. § 45X(c)(3)(B)(vii)(I)(ff) —
is rotated by means of a drive system.
I.R.C. § 45X(c)(3)(B)(vii)(II) Structural Fastener —
The term “structural fastener”
means a component which is used—
I.R.C. § 45X(c)(3)(B)(vii)(II)(aa) —
to connect the mechanical and drive
system components of a solar tracker to the foundation of such solar
tracker,
I.R.C. § 45X(c)(3)(B)(vii)(II)(bb) —
to connect torque tubes to drive
assemblies, or
I.R.C. § 45X(c)(3)(B)(vii)(II)(cc) —
to connect segments of torque tubes
to one another.
I.R.C. § 45X(c)(4) Wind Energy Component
I.R.C. § 45X(c)(4)(A) In General —
The term “wind energy component”
means any of the following:
I.R.C. § 45X(c)(4)(A)(i) —
Blades.
I.R.C. § 45X(c)(4)(A)(ii) —
Nacelles.
I.R.C. § 45X(c)(4)(A)(iii) —
Towers.
I.R.C. § 45X(c)(4)(A)(iv) —
Offshore wind foundations.
I.R.C. § 45X(c)(4)(A)(v) —
Related offshore wind vessels.
I.R.C. § 45X(c)(4)(B) Associated Definitions
I.R.C. § 45X(c)(4)(B)(i) Blade —
The term “blade” means
an airfoil-shaped blade which is responsible for converting wind energy
to low-speed rotational energy.
I.R.C. § 45X(c)(4)(B)(ii) Offshore Wind Foundation —
The term “offshore wind foundation”
means the component (including transition piece) which secures an
offshore wind tower and any above-water turbine components to the
seafloor using—
I.R.C. § 45X(c)(4)(B)(ii)(I) —
fixed platforms, such as offshore
wind monopiles, jackets, or gravity-based foundations, or
I.R.C. § 45X(c)(4)(B)(ii)(II) —
floating platforms and associated
mooring systems.
I.R.C. § 45X(c)(4)(B)(iii) Nacelle —
The term “nacelle” means
the assembly of the drivetrain and other tower-top components of a
wind turbine (with the exception of the blades and the hub) within
their cover housing.
I.R.C. § 45X(c)(4)(B)(iv) Related Offshore Wind Vessel —
The term “related offshore
wind vessel” means any vessel which is purpose-built or retrofitted
for purposes of the development, transport, installation, operation,
or maintenance of offshore wind energy components.
I.R.C. § 45X(c)(4)(B)(v) Tower —
The term “tower” means
a tubular or lattice structure which supports the nacelle and rotor
of a wind turbine.
I.R.C. § 45X(c)(5) Qualifying Battery Component
I.R.C. § 45X(c)(5)(A) In General —
The term “qualifying battery
component” means any of the following:
I.R.C. § 45X(c)(5)(A)(i) —
Electrode active materials.
I.R.C. § 45X(c)(5)(A)(ii) —
Battery cells.
I.R.C. § 45X(c)(5)(A)(iii) —
Battery modules.
I.R.C. § 45X(c)(5)(B) Associated Definitions
I.R.C. § 45X(c)(5)(B)(i) Electrode Active Material —
The term “electrode active
material” means cathode materials, anode materials, anode foils,
and electrochemically active materials, including solvents, additives,
and electrolyte salts that contribute to the electrochemical processes
necessary for energy storage.
I.R.C. § 45X(c)(5)(B)(ii) Battery Cell —
The term “battery cell”
means an electrochemical cell—
I.R.C. § 45X(c)(5)(B)(ii)(I) —
comprised of 1 or more positive electrodes
and 1 or more negative electrodes,
I.R.C. § 45X(c)(5)(B)(ii)(II) —
with an energy density of not less
than 100 watt-hours per liter, and
I.R.C. § 45X(c)(5)(B)(ii)(III) —
capable of storing at least 12 watt-hours
of energy.
I.R.C. § 45X(c)(5)(B)(iii) Battery Module —
The term “battery module”
means a module—
I.R.C. § 45X(c)(5)(B)(iii)(I)
I.R.C. § 45X(c)(5)(B)(iii)(I)(aa) —
in the case of a module using battery
cells, with 2 or more battery cells which are configured electrically,
in series or parallel, to create voltage or current, as appropriate,
to a specified end use, or
I.R.C. § 45X(c)(5)(B)(iii)(I)(bb) —
with no battery cells, and
I.R.C. § 45X(c)(5)(B)(iii)(II) —
with an aggregate capacity of not
less than 7 kilowatt-hours (or, in the case of a module for a hydrogen
fuel cell vehicle, not less than 1 kilowatt-hour).
I.R.C. § 45X(c)(6) Applicable Critical Minerals —
The term “applicable critical mineral” means
any of the following:
I.R.C. § 45X(c)(6)(A) Aluminum —
Aluminum which is—
I.R.C. § 45X(c)(6)(A)(i) —
converted from bauxite to a minimum
purity of 99 percent alumina by mass, or
I.R.C. § 45X(c)(6)(A)(ii) —
purified to a minimum purity of 99.9
percent aluminum by mass.
I.R.C. § 45X(c)(6)(B) Antimony —
Antimony which is—
I.R.C. § 45X(c)(6)(B)(i) —
converted to antimony trisulfide
concentrate with a minimum purity of 90 percent antimony trisulfide
by mass, or
I.R.C. § 45X(c)(6)(B)(ii) —
purified to a minimum purity of 99.65
percent antimony by mass.
I.R.C. § 45X(c)(6)(C) Barite —
Barite which is barium sulfate purified
to a minimum purity of 80 percent barite by mass.
I.R.C. § 45X(c)(6)(D) Beryllium —
Beryllium which is—
I.R.C. § 45X(c)(6)(D)(i) —
converted to copper-beryllium master
alloy, or
I.R.C. § 45X(c)(6)(D)(ii) —
purified to a minimum purity of 99
percent beryllium by mass.
I.R.C. § 45X(c)(6)(E) Cerium —
Cerium which is—
I.R.C. § 45X(c)(6)(E)(i) —
converted to cerium oxide which is
purified to a minimum purity of 99.9 percent cerium oxide by mass,
or
I.R.C. § 45X(c)(6)(E)(ii) —
purified to a minimum purity of 99
percent cerium by mass.
I.R.C. § 45X(c)(6)(F) Cesium —
Cesium which is—
I.R.C. § 45X(c)(6)(F)(i) —
converted to cesium formate or cesium
carbonate, or
I.R.C. § 45X(c)(6)(F)(ii) —
purified to a minimum purity of 99
percent cesium by mass.
I.R.C. § 45X(c)(6)(G) Chromium —
Chromium which is—
I.R.C. § 45X(c)(6)(G)(i) —
converted to ferrochromium consisting
of not less than 60 percent chromium by mass, or
I.R.C. § 45X(c)(6)(G)(ii) —
purified to a minimum purity of 99
percent chromium by mass.
I.R.C. § 45X(c)(6)(H) Cobalt —
Cobalt which is—
I.R.C. § 45X(c)(6)(H)(i) —
converted to cobalt sulfate, or
I.R.C. § 45X(c)(6)(H)(ii) —
purified to a minimum purity of 99.6
percent cobalt by mass.
I.R.C. § 45X(c)(6)(I) Dysprosium —
Dysprosium which is—
I.R.C. § 45X(c)(6)(I)(i) —
converted to not less than 99 percent
pure dysprosium iron alloy by mass, or
I.R.C. § 45X(c)(6)(I)(ii) —
purified to a minimum purity of 99
percent dysprosium by mass.
I.R.C. § 45X(c)(6)(J) Europium —
Europium which is—
I.R.C. § 45X(c)(6)(J)(i) —
converted to europium oxide which
is purified to a minimum purity of 99.9 percent europium oxide by
mass, or
I.R.C. § 45X(c)(6)(J)(ii) —
purified to a minimum purity of 99
percent by mass.
I.R.C. § 45X(c)(6)(K) Fluorspar —
Fluorspar which is—
I.R.C. § 45X(c)(6)(K)(i) —
converted to fluorspar which is purified
to a minimum purity of 97 percent calcium fluoride by mass, or
I.R.C. § 45X(c)(6)(K)(ii) —
purified to a minimum purity of 99
percent fluorspar by mass.
I.R.C. § 45X(c)(6)(L) Gadolinium —
Gadolinium which is—
I.R.C. § 45X(c)(6)(L)(i) —
converted to gadolinium oxide which
is purified to a minimum purity of 99.9 percent gadolinium oxide by
mass, or
I.R.C. § 45X(c)(6)(L)(ii) —
purified to a minimum purity of 99
percent gadolinium by mass.
I.R.C. § 45X(c)(6)(M) Germanium —
Germanium which is—
I.R.C. § 45X(c)(6)(M)(i) —
converted to germanium tetrachloride,
or
I.R.C. § 45X(c)(6)(M)(ii) —
purified to a minimum purity of 99.99
percent germanium by mass.
I.R.C. § 45X(c)(6)(N) Graphite —
Graphite which is purified to a minimum
purity of 99.9 percent graphitic carbon by mass.
I.R.C. § 45X(c)(6)(O) Indium —
Indium which is—
I.R.C. § 45X(c)(6)(O)(i) —
converted to—
I.R.C. § 45X(c)(6)(O)(i)(I) —
indium tin oxide, or
I.R.C. § 45X(c)(6)(O)(i)(II) —
indium oxide which is purified to
a minimum purity of 99.9 percent indium oxide by mass, or
I.R.C. § 45X(c)(6)(O)(ii) —
purified to a minimum purity of 99
percent indium by mass.
I.R.C. § 45X(c)(6)(P) Lithium —
Lithium which is—
I.R.C. § 45X(c)(6)(P)(i) —
converted to lithium carbonate or
lithium hydroxide, or
I.R.C. § 45X(c)(6)(P)(ii) —
purified to a minimum purity of 99.9
percent lithium by mass.
I.R.C. § 45X(c)(6)(Q) Manganese —
Manganese which is—
I.R.C. § 45X(c)(6)(Q)(i) —
converted to manganese sulphate,
or
I.R.C. § 45X(c)(6)(Q)(ii) —
purified to a minimum purity of 99.7
percent manganese by mass.
I.R.C. § 45X(c)(6)(R) Neodymium —
Neodymium which is—
I.R.C. § 45X(c)(6)(R)(i) —
converted to neodymium-praseodymium
oxide which is purified to a minimum purity of 99 percent neodymium-praseodymium
oxide by mass,
I.R.C. § 45X(c)(6)(R)(ii) —
converted to neodymium oxide which
is purified to a minimum purity of 99.5 percent neodymium oxide by
mass
I.R.C. § 45X(c)(6)(R)(iii) —
purified to a minimum purity of 99.9
percent neodymium by mass.
I.R.C. § 45X(c)(6)(S) Nickel —
Nickel which is—
I.R.C. § 45X(c)(6)(S)(i) —
converted to nickel sulphate, or
I.R.C. § 45X(c)(6)(S)(ii) —
purified to a minimum purity of 99
percent nickel by mass.
I.R.C. § 45X(c)(6)(T) Niobium —
Niobium which is—
I.R.C. § 45X(c)(6)(T)(i) —
converted to ferronibium, or
I.R.C. § 45X(c)(6)(T)(ii) —
purified to a minimum purity of 99
percent niobium by mass.
I.R.C. § 45X(c)(6)(U) Tellurium —
Tellurium which is—
I.R.C. § 45X(c)(6)(U)(i) —
converted to cadmium telluride, or
I.R.C. § 45X(c)(6)(U)(ii) —
purified to a minimum purity of 99
percent tellurium by mass.
I.R.C. § 45X(c)(6)(V) Tin —
Tin which is purified to low alpha
emitting tin which—
I.R.C. § 45X(c)(6)(V)(i) —
has a purity of greater than 99.99
percent by mass, and
I.R.C. § 45X(c)(6)(V)(ii) —
possesses an alpha emission rate
of not greater than 0.01 counts per hour per centimeter square.
I.R.C. § 45X(c)(6)(W) Tungsten —
Tungsten which is converted to ammonium
paratungstate or ferrotungsten.
I.R.C. § 45X(c)(6)(X) Vanadium —
Vanadium which is converted to ferrovanadium
or vanadium pentoxide.
I.R.C. § 45X(c)(6)(Y) Yttrium —
Yttrium which is—
I.R.C. § 45X(c)(6)(Y)(i) —
converted to yttrium oxide which
is purified to a minimum purity of 99.999 percent yttrium oxide by
mass, or
I.R.C. § 45X(c)(6)(Y)(ii) —
purified to a minimum purity of 99.9
percent yttrium by mass.
I.R.C. § 45X(c)(6)(Z) Other Minerals —
Any of the following minerals, provided
that such mineral is purified to a minimum purity of 99 percent by
mass:
I.R.C. § 45X(c)(6)(Z)(i) —
Arsenic.
I.R.C. § 45X(c)(6)(Z)(ii) —
Bismuth.
I.R.C. § 45X(c)(6)(Z)(iii) —
Erbium.
I.R.C. § 45X(c)(6)(Z)(iv) —
Gallium.
I.R.C. § 45X(c)(6)(Z)(v) —
Hafnium.
I.R.C. § 45X(c)(6)(Z)(vi) —
Holmium.
I.R.C. § 45X(c)(6)(Z)(vii) —
Iridium.
I.R.C. § 45X(c)(6)(Z)(viii) —
Lanthanum.
I.R.C. § 45X(c)(6)(Z)(ix) —
Lutetium.
I.R.C. § 45X(c)(6)(Z)(x) —
Magnesium.
I.R.C. § 45X(c)(6)(Z)(xi) —
Palladium.
I.R.C. § 45X(c)(6)(Z)(xii) —
Platinum.
I.R.C. § 45X(c)(6)(Z)(xiii) —
Praseodymium.
I.R.C. § 45X(c)(6)(Z)(xiv) —
Rhodium.
I.R.C. § 45X(c)(6)(Z)(xv) —
Rubidium.
I.R.C. § 45X(c)(6)(Z)(xvi) —
Ruthenium.
I.R.C. § 45X(c)(6)(Z)(xvii) —
Samarium.
I.R.C. § 45X(c)(6)(Z)(xviii) —
Scandium.
I.R.C. § 45X(c)(6)(Z)(xix) —
Tantalum.
I.R.C. § 45X(c)(6)(Z)(xx) —
Terbium.
I.R.C. § 45X(c)(6)(Z)(xxi) —
Thulium.
I.R.C. § 45X(c)(6)(Z)(xxii) —
Titanium.
I.R.C. § 45X(c)(6)(Z)(xxiiii) —
Ytterbium.
I.R.C. § 45X(c)(6)(Z)(xxiv) —
Zinc.
I.R.C. § 45X(c)(6)(Z)(xxv) —
Zirconium.
I.R.C. § 45X(d) Special Rules —
In this section—
I.R.C. § 45X(d)(1) Related Persons —
Persons shall be treated as related to each other if
such persons would be treated as a single employer under the regulations
prescribed under section 52(b).
I.R.C. § 45X(d)(2) Only Production In The United States Taken Into Account —
Sales shall be taken into account under this section
only with respect to eligible components the production of which is
within—
I.R.C. § 45X(d)(2)(A) —
the United States (within the meaning
of section 638(1)), or
I.R.C. § 45X(d)(2)(B) —
a possession of the United States
(within the meaning of section 638(2)).
I.R.C. § 45X(d)(3) Pass-Thru In The Case Of Estates And Trusts —
Under regulations prescribed by the Secretary, rules
similar to the rules of subsection (d) of section
52 shall apply.
I.R.C. § 45X(d)(4) Sale Of Integrated Components —
For purposes of this section, a person shall be treated
as having sold an eligible component to an unrelated person if such
component is integrated, incorporated, or assembled into another eligible
component which is sold to an unrelated person.
(Added by Pub.
L. 117-169, title I, Sec. 13502(a), Aug. 16, 2022, 136 Stat. 1818.)
BACKGROUND NOTES
EFFECTIVE DATE
Addition by Sec. 13502(a) of Pub. L. 117-169 is effective for components
produced and sold after December 31, 2022.
