An insurance company is entitled to generous tax credits even if the carrier did not invest directly in renewable energy projects, a North Carolina court has decided, striking down a $24 million tax assessment by the state’s Department of Revenue that had baffled many in the industry.
North Carolina Farm Bureau Insurance, ranked as the third-largest property-casualty insurer in the state, had invested millions of dollars in a multi-layered partnership program that sold tax credits. But the Department of Revenue objected, contending that Farm Bureau had taken advantage of state tax laws and had not actually risked any real capital on the solar projects.
