Sales Tax Credit for Clean Energy Technology (Tennessee)

From Open Energy Information


Last modified on February 12, 2015.

Financial Incentive Program

Place Tennessee

Name Sales Tax Credit for Clean Energy Technology
Incentive Type Sales Tax Incentive
Applicable Sector Commercial, Industrial
Eligible Technologies Photovoltaics, Wind, Biomass, Geothermal Electric
Active Incentive Yes
Implementing Sector State/Territory
Energy Category Renewable Energy Incentive Programs
Amount 100% of sales and use tax

Equipment Requirements Certified green energy production facility as defined in Tenn. Code Ann. Section 67-4-2004
Start Date 2010-06-30

Program Administrator Tennessee Department of Revenue

References DSIREDatabase of State Incentives for Renewables and Efficiency[1]


Tenn. Code Ann. Section 67-6-346 allows a taxpayer to take a credit, to apply for a refund of taxes paid, or to apply for authority to make tax-exempt purchases of machinery and equipment used to produce electricity in a certified green energy production facility. A certified green energy production facility is a facility certified by the Department of Environment and Conservation as producing electricity for use and consumption off the premises using clean energy technology. Clean energy technology is technology used to generate electricity from geothermal, hydrogen, solar, or wind sources.

A contractor who is installing pollution control or green energy machinery and equipment must file an application with the department and must attach a copy of the contract to its application. The taxpayer who hires a contractor must also file an application with the department. If both applications are approved, authority to purchase tax exempt will be extended to the contractor for the certified green energy production facility project described in the application. If taxes have been paid, the approved application will be used to support a refund or credit directly to the taxpayer.

Incentive Contact

Contact Name Department of Revenue

Address Taxpayer and Vehicle Services Division
Address 2 Andrew Jackson State Office Building, 3rd Floor
Place Nashville, Tennessee
Zip/Postal Code 37242
Phone (615) 253-0600
Phone 2 (800) 342-1003


Authorities (Please contact the if there are any file problems.)

Authority 1: Tenn. Code 67-6-346
Date Effective 2010-06-30

Authority 2: Tenn. Code 67-4-2004 (9)
Date Effective 2011-06-30

  • Incentive and policy data are reviewed and approved by the N.C. Solar Center's DSIRE project staff.[1]


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