Interim Lighting Rules to the Commercial Building Deduction

The Treasury Department has not yet finalized the regulations defining savings targets, however Interim Rules for Lighting are in effect. The tax deduction based on these rules is the lesser of the following two calculations:

Complete cost of installing energy-efficient interior lighting,

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$.30/sq. ft. to $.60/sq. ft. proportional to lighting power density (LPD) savings of 25%-40% below ASHRAE 90.1-2001 Standards.