2. Revising the entry for § 1.30C-3; and
Par. 3. Section 1.30C-3 is revised to read as follows:
(a) In general. If any qualified alternative fuel vehicle refueling project (as defined by section 30C(g)(1)(B)) (30C project) placed in service during the taxable year satisfies the requirements in paragraph (b) of this section, the credit determined under section 30C(a) for any 30C property of a character subject to an allowance for depreciation that is part of such 30C project is multiplied by five.
(b) 30C project requirements —(1) In general. A 30C project satisfies the requirements of this paragraph (b) if it is one of the following—
(i) A project the construction of which began prior to January 29, 2023; or
(ii) A project that meets the prevailing wage requirements of section 45(b)(7) of the Code and § 1.45-7, the apprenticeship requirements of section 45(b)(8) and § 1.45-8, and the recordkeeping and reporting requirements of § 1.45-12, all with respect to the construction of any 30C property within the meaning of section 30C and the section 30C regulations before such 30C property is placed in service.
(2) Determination of a project. Multiple 30C properties will be treated as a single 30C project if the items of property are constructed and operated on a contiguous piece of land, owned by a single taxpayer (subject to the related taxpayer rule provided in paragraph (b)(3) of this section), placed in service in a single taxable year, and one or more of the following factors is present:
(i) The properties are described in one or more common environmental or other regulatory permits;
(ii) The properties are constructed pursuant to a single master construction contract; or
(iii) The construction of the properties is financed pursuant to the same loan agreement.
(3) Related taxpayers —(i) Definition. For purposes of this section, the term related taxpayers means members of a group of trades or businesses that are under common control (as defined in § 1.52-1(b)).
(ii) Related taxpayer rule. For purposes of this section, related taxpayers are treated as one taxpayer in determining whether multiple properties are treated as a 30C project with respect to which a section 30C credit may be determined.
(c) Coordination with 30C(e)(2) and § 1.30C-4(c). If a person who sells 30C property, the use of which is described in section 50(b)(3) or (4) and which is not subject to a lease, is treated as the taxpayer that placed such property in service under section 30C(e)(2), such person will be treated as the taxpayer responsible for satisfying the recordkeeping and reporting requirements of § 1.45-12.
(d) Examples. The following examples illustrate the rules of this section.
(1) Example 1 —(i) Facts. D owns and operates electric charging stations. In Year 1, D places in service five chargers, each with one charging port, on Parcel 1. In the same year, D also places in service three chargers, each with one charging port, on Parcel 2. Parcel 1 and Parcel 2 are a mile apart from each other. D submits a single environmental permit covering both charging stations and obtains financing pursuant to the same loan agreement. D meets the requirements of section 30C(g) and this section (that is, the PWA requirements) for the chargers installed on Parcel 1 but does not meet the PWA requirements for the chargers installed on Parcel 2. The chargers installed on Parcel 1 and Parcel 2 are depreciable property and meet all other requirements to be 30C property.
(ii) Analysis. Under paragraph (b)(2) of this section, the chargers placed in service on Parcel 1 are treated as a separate 30C project from the chargers placed in service on Parcel 2 because the properties are not on contiguous piece of land. Therefore, under § 1.30C-2(a)(2)(ii), D is eligible for a credit of 30 percent of the cost of the five chargers placed in service on Parcel 1, but only 6 percent of the cost of the three chargers placed in service on Parcel 2 under § 1.30C-2(a)(2)(i).
(2) Example 2 —(i) Facts. The facts are the same as paragraph (d)(1) of this section ( Example 1 ), except that Parcel 1 and Parcel 2 are contiguous pieces of land.
(ii) Analysis. Under paragraph (b)(2) of this section, the chargers installed on Parcel 1 and Parcel 2 are treated as a single 30C project because they are constructed on a contiguous piece of land, are owned, and operated by a single taxpayer, placed in service by a single taxpayer in a single year, described in a common environmental permit, and financed pursuant to the same loan agreement. Therefore, because D did not meet the PWA requirements with respect to the chargers placed in service in parcel 2, D is eligible for only the 6 percent credit for both the parcel 1 and parcel 2 property under § 1.30C-2(a)(2)(i).
(e) Applicability date. This section applies to property placed in service in taxable years ending after [date of publication of final regulations in the Federal Register ].