California Revenue and Taxation Code

§ 64.1

RTC § 64.1 Effective Sep 30, 2021Div. 1 · Part 0.5 · Ch. 2

Statute text

(a)(1) Notwithstanding paragraph (1) of subdivision (c) of Section 64, in the case of a legal entity that owns an active solar energy system pursuant to a partnership flip transaction, neither an initial transfer of a capital and profits interest in the legal entity, nor any subsequent change in the allocation of the capital and profits of the legal entity among the members, shall be deemed to constitute a transfer of control of, or of a majority interest in, the legal entity.

(2)Paragraph (1) shall not apply to any real property owned by the legal entity other than the active solar energy system. Real property owned by the legal entity, other than the active solar energy system, shall be deemed to undergo a change in ownership to the extent otherwise provided under subdivision (c) of Section 64.

(3)Paragraph (1) shall not apply to more than one partnership flip transaction with respect to any portion of an active solar energy system.

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Legislative history

Added by Stats. 2021, Ch. 424, Sec. 2. (SB 267) Effective September 30, 2021.