1.This Act may be cited as the
Fair Allocation of Internal Revenue
Credit for Renewable Electricity Distribution by Indian Tribes Act of
2011
or as the FAIR CREDIT Act of 2011
.
2.Transfer by
Indian tribes of credit for electricity produced from renewable
resources
(a)Paragraph (3) of section 45(e) of the Internal Revenue
Code of 1986 (relating to production attributable to the taxpayer) is amended
to read as follows:
(3)Production
attributable to the taxpayer
(A)In the case of a
facility in which more than 1 person has an ownership interest, except to the
extent provided in regulations prescribed by the Secretary, production from the
facility shall be allocated among such persons in proportion to their
respective ownership interests in the gross sales from such facility.
(B)Special rule for
Indian tribes
(i)In the case of a facility described in subparagraph (A)
in which an Indian tribe has an ownership interest in the gross sales from such
facility, such Indian tribe may assign to any other person who has such an
ownership interest in such facility any portion of the production from the
facility that would (but for this subparagraph) be allocated to such Indian
tribe. Any such assignment may be revoked only with the consent of the
Secretary and shall be made at such time and in such manner as the Secretary
may provide.
(ii)For purposes of clause (i), the term Indian
tribe means any Indian tribe, band, nation, pueblo, or other organized
group or community, including any Alaska Native village or regional or village
corporation, as defined in, or established pursuant to, the Alaska Native
Claims Settlement Act (43 U.S.C. 1601 et seq.) which is recognized as eligible
for the special programs and services provided by the United States to Indians
because of their status as Indians.
.
(b)The amendment made by this section shall apply to
electricity produced and sold after the date of the enactment of this
Act.