OH HB261

Establishes a nonrefundable tax credit equal to 30% of costs to purchase, construct, or install equipment for alternative fuel facilities (including compressed natural gas, liquefied natural gas, liquefied petroleum gas, hydrogen, ethanol with at least 85% concentration, and electricity) placed into service between the effective date and January 1, 2015.

For commercial facilities, allows taxpayers to claim one-third of the credit in the year placed into service and one-third in each of the two succeeding years; for residential facilities, allows full credit claim in the year placed into service.

Permits credit for those selling tangible property to be incorporated into qualifying facilities to persons not subject to income or commercial activity tax (including state and political subdivisions) on the sale price of property sold.

Allows excess credits that exceed tax liability to be carried forward to succeeding tax years; credit may not be claimed if an alternative fuel facility credit was already claimed under the commercial activity tax provisions for the same facility.

Adds the alternative fuel facility credit to the personal income tax credit order in section 5747.98 and establishes a parallel credit provision for commercial activity tax under section 5751.54.