TITLE 44

Taxation

CHAPTER 44-57

Residential Renewable Energy System Tax Credit

SECTION 44-57-11



   § 44-57-11  Enforcement. –

(a) Applicant's actions which are cause for revocation of solar tax

credit.



   (1) A system certification may be revoked if the director

finds that:



   (i) The applicant obtained the system certification by fraud

or misrepresentation;



   (ii) The verification form was fraudulent or misrepresented

by the taxpayer;



   (iii) The renewable energy system has not been installed or

operated in substantial compliance with the plans, specifications, or

procedures specified in the application or certification, such as:



   (A) Failure to comply with required codes or obtain required

permits or inspections;



   (B) Return of the renewable energy system to the seller or

installer for a refund; or



   (C) Sale or removal of the device so that it no longer

operates on the property of the applicant; or



   (iv) The applicant refuses to allow the state energy office

to inspect the renewable energy system after a reasonable written request by

the state energy office. A reasonable request shall allow applicant to choose a

day within three (3) weeks of the request from the state energy office.



   (2) Following revocation, the applicant shall forfeit the tax

credit, and the division of taxation shall proceed to collect any taxes due

from the taxpayer because of this forfeiture.



   (b) Contractor's actions which are cause for revocation of

contractor's certification.



   (1) A contractor certification may be revoked if the director

finds that the system certification or the contractor certification was

obtained by fraud or misrepresentation by the contractor. The director may find

that fraud or misrepresentation occurred if the director finds false statements

were made regarding the contractor's licenses held, products or warranties

carried, range of product cost, personnel employed in the business, or any

other statement made in application for contractor certification.



   (2) A contractor certification may be revoked if the director

finds that the contractor's performance regarding sales or installation of the

renewable energy system for which the contractor is issued a certificate does

not meet industry standards. The director may find that the contractor's

performance does not meet industry standards under the following conditions:



   (i) The contractor is not registered with the contractors'

registration board or does not carry the required level of insurance;



   (ii) The contractor fails to obtain the required state or

local permits required to install the renewable energy system;



   (iii) The contractor fails to install the renewable energy

system in compliance with standards adopted under this chapter;



   (iv) The contractor fails to install the renewable energy

system in a workmanlike manner;



   (v) The contractor fails to install the renewable energy

system to comply with manufacturers' published specifications;



   (vi) The contractor fails to honor contract provisions when

there is no legitimate excuse for nonperformance of the obligation; or



   (vii) The contractor fails to honor a warranty which the

contractor is contractually obligated to perform; and



   (viii) The contractor fails to make corrections to remedy

failure to comply with paragraphs (i) through (vii) of this subdivision

requested by the state energy office within thirty (30) days of written

notification from the state energy office of the problem, unless a time

extension is granted by the state energy office; or



   (ix) A tax credit for a renewable energy system sold or

installed under the contractor certification is ordered revoked under this

section; or



   (x) New information indicates that the renewable energy

system installed under the contractor certification does not meet eligibility

requirements.



   (3) A contractor certificate may be revoked if the director

finds that the contractor misrepresented to the customer either the tax credit

program or the nature of the renewable energy system. The director may find

that the contractor has misrepresented the tax credit program or the renewable

energy system under the following conditions:



   (i) The contractor has provided false or misleading

information to the customer regarding the availability of the tax credit,

amount and nature of the tax credit, procedures for tax credit application,

eligibility standards for credit, or any other misleading information about the

program;



   (ii) The contractor has misrepresented the nature of the

performance of the renewable energy system;



   (iii) The contractor has misrepresented the cost of the

system. For example, the contractor omits costs in the contract for features

necessary for basic installation and/or operation of the system and/or to

comply with the renewable energy system eligibility; or



   (iv) The contractor has misrepresented a competitor's product

or service; and



   (v) The contractor fails to make corrections requested, in

writing, by the state energy office to remedy violations of paragraphs (i)

through (iv) of this subdivision within thirty (30) days unless more time is

allowed by the state energy office, or the contractor fails to remedy the

construction and/or warranty claim as directed by order of the contractors'

registration board.



History of Section.

(P.L. 2000, ch. 145, § 1.)