2017 ORS 469B.118¹
Forfeiture of tax credits
  • revocation of contractor certificate
  • inspection
  • effect of failure to allow inspection

(1) Upon the Department of Revenue’s own motion, or upon request of the State Department of Energy, the Department of Revenue may initiate proceedings for the forfeiture of a tax credit allowed under ORS 316.116 (Credit for alternative energy device) if:

(a) The verification was fraudulent because of a misrepresentation by the taxpayer;

(b) The verification was fraudulent because of a misrepresentation by the contractor;

(c) The alternative energy device has not been constructed, installed or operated in substantial compliance with the requirements of ORS 469B.100 (Definitions for ORS 469B.100 to 469B.118) to 469B.118 (Forfeiture of tax credits); or

(d) The taxpayer failed to consent to an inspection of the constructed or installed alternative energy device by the State Department of Energy after a reasonable, written request for such an inspection by the State Department of Energy.

(2) Pursuant to the procedures for a contested case under ORS chapter 183, the Director of the State Department of Energy may order the revocation of a contractor certificate issued under ORS 469B.106 (Claim for tax credits) if the director finds that:

(a) The contractor certificate was obtained by fraud or misrepresentation by the contractor certificate holder;

(b) The contractor’s performance for the alternative energy device for which the contractor is issued a certificate under ORS 469B.106 (Claim for tax credits) does not meet industry standards; or

(c) The contractor has misrepresented to the customer either the tax credit program or the nature or quality of the alternative energy device.

(3) If the tax credit allowed under ORS 316.116 (Credit for alternative energy device) for the purchase, construction or installation of an alternative energy device is ordered forfeited due to an action of the taxpayer under subsection (1)(a), (c) or (d) of this section, all prior tax relief provided to the taxpayer shall be forfeited and the Department of Revenue shall proceed to collect those taxes not paid by the taxpayer as a result of the tax credit relief under ORS 316.116 (Credit for alternative energy device).

(4) If the tax credit for the construction or installation of an alternative energy device is ordered forfeited due to an action of the contractor under subsection (1)(b) of this section, the Department of Revenue shall proceed to collect, from the contractor, an amount equivalent to those taxes not paid by the taxpayer as a result of the tax credit relief under ORS 316.116 (Credit for alternative energy device). As long as the forfeiture is due to an action of the contractor and not to an action of the taxpayer, the assessment of such taxes shall be levied on the contractor and not on the taxpayer. Notwithstanding ORS 314.835 (Divulging particulars of returns and reports prohibited), the Department of Revenue may disclose information from income tax returns or reports to the extent such disclosure is necessary to collect amounts from contractors under this subsection.

(5) In order to obtain information necessary to verify eligibility and amount of the tax credit, the State Department of Energy or its representative may inspect an alternative energy device that has been purchased, constructed or installed. The inspection shall be made only with the consent of the owner of the dwelling. Failure to consent to the inspection is grounds for the forfeiture of any tax credit relief under ORS 316.116 (Credit for alternative energy device). The Department of Revenue shall proceed to collect any taxes due according to subsection (4) of this section. For electrical generating alternative energy devices, the State Department of Energy may obtain energy consumption records for the dwelling the device serves, for a 12-month period, in order to verify eligibility and amount of the tax credit. [Formerly 469.180; 2015 c.701 §33]

(formerly 469.190 to 469.225)

Law Review Cita­tions

16 WLR 392 (1979)

(formerly 469.160 to 469.180)

Atty. Gen. Opinions

Installa­tion date of alternative energy devices, Depart­ment of Energy rule pro­vi­sions and tax credit limita­tions, (1977) Vol 38, p 1198; credit from utility to customer feeding excess electrical power from residential alternative energy device back into utility’s distribu­tion system, (1977) Vol 38, p 1475

1 Legislative Counsel Committee, CHAPTER 469B—Energy Tax Credits; Grants, https://­www.­oregonlegislature.­gov/­bills_laws/­ors/­ors469B.­html (2017) (last ac­cessed Mar. 30, 2018).
 
2 Legislative Counsel Committee, Annotations to the Oregon Revised Stat­utes, Cumulative Supplement - 2017, Chapter 469B, https://­www.­oregonlegislature.­gov/­bills_laws/­ors/­ano469B.­html (2017) (last ac­cessed Mar. 30, 2018).
 
3 OregonLaws.org assembles these lists by analyzing references between Sections. Each listed item refers back to the current Section in its own text. The result reveals relationships in the code that may not have otherwise been apparent.