In August 1997, President Clinton signed the Taxpayer Relief Act (HR2014/PL 105-34), which includes a new brownfields tax incentive designed to spur the cleanup and redevelopment of brownfields. Under this federal tax incentive, environmental cleanup costs for properties are fully deductible business expenses in the year in which costs are incurred or paid. This Act was expanded on December 15, 2000 to extend the tax incentive to January 1, 2004, and include any site with a release or disposal of hazardous substances (with some exclusions).
The tax incentive is administrated by the IRS and is applicable to properties that meet the requirements specified in the EPA Brownfields Tax Incentive Guidelines.
One of those requirements is that the taxpayer must receive a statement from the DEQ that the site has had a release (or threat of release) or disposal of a hazardous substance. To receive the statement from the DEQ, complete the Submittal Form and return to:
Office of Remediation Programs
Department of Environmental Quality
P.O. Box 1105
Richmond, VA 23218
For more information about incentives for brownfield development and Virginia's Brownfields Program, contact Kevin Greene at (804) 698-4179 or email Meade Anderson.