Apparently the payroll tax agreement reached on Friday in congress did not extend all tax provisions being considered. The deal allowed a number of tax breaks, including those for wind and solar energy producers, to expire, reports Brad Plumer.
Despite efforts to include them in the final payroll tax deal, the clean energy tax credits, and a tax break for commuters who take mass transit that had already lapsed, were left out of the final deal.
According to Plumer, the end of the credits will have a huge effect on the wind power industry. "Projects that finish up by the end of 2012 will still qualify - which is why there's likely to be a huge boom in construction this year. But that leaves a vast number of additional projects that weren't slated for completion until 2013 or later. The tax credit will have expired by then, so those projects are likely to be shelved, which, according to the consulting company Navigant, will lead to 37,000 layoffs."
FULL STORY: One casualty of the payroll tax deal: clean energy
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