What To Know Before Tax Seasons

How to make transferable tax credits part of your long-term tax strategy

For companies with US federal tax liability, transferable tax credits can lower cash taxes, keep more working capital in the business and help manage the effective tax rate (ETR), without owning the underlying project. As the market has matured, the headline discount has become only part of the story. Credit type, risk protection, deal structure and payment timing all shape what you pay and when cash leaves the business. The companies getting the most from credits treat them as a long-term program, not a one-off transaction. This guide gives tax and finance leaders a high-level view of the decisions behind a strong program. It draws on what STX Group sees as an active participant on both sides of the market.

You will learn how to

• Get clear priorities on discount, payment timing and protection before going to market
• Choose credits that fit your financial objectives and, where relevant, your sustainability goal
• Understand where risk sits and how insurance, guaranties and indemnities are priced
• Build a portfolio across projects, developers and tax years, including forward commitments
• Bring tax, treasury, legal and sustainability teams in early so deals don’t stall at sign-off

Who it’s for

Corporate tax, treasury and finance leaders at companies with US federal tax liability, whether you’re evaluating a first purchase or building an ongoing program.