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136 STAT. 1949 PUBLIC LAW 117–169—AUG. 16, 2022 (C) by striking ‘‘that construction of such property begins’’ and inserting ‘‘such property is placed in service’’. (5) ELIMINATION OF PARTIAL ALLOWANCE.— (A) IN GENERAL.—Section 179D(d) is amended— (i) by striking paragraph (1), and (ii) by redesignating paragraphs (2) through (6) as paragraphs (1) through (5), respectively. (B) CONFORMING AMENDMENTS.— (i) Section 179D(c)(1)(D) is amended— (I) by striking ‘‘subsection (d)(6)’’ and inserting ‘‘subsection (d)(5)’’, and (II) by striking ‘‘subsection (d)(2)’’ and inserting ‘‘subsection (d)(1)’’. (ii) Paragraph (2)(A) of section 179D(d), as redesig- nated by subparagraph (A), is amended by striking ‘‘paragraph (2)’’ and inserting ‘‘paragraph (1)’’. (iii) Paragraph (4) of section 179D(d), as redesig- nated by subparagraph (A), is amended by striking ‘‘paragraph (3)(B)(iii)’’ and inserting ‘‘paragraph (2)(B)(iii)’’. (iv) Section 179D is amended by striking sub- section (f). (v) Section 179D(h) is amended by striking ‘‘or (d)(1)(A)’’. (6) ALLOCATION OF DEDUCTION BY CERTAIN TAX-EXEMPT ENTITIES.—Paragraph (3) of section 179D(d), as redesignated by paragraph (5)(A), is amended to read as follows: ‘‘(3) ALLOCATION OF DEDUCTION BY CERTAIN TAX-EXEMPT ENTITIES.— ‘‘(A) IN GENERAL.—In the case of energy efficient commercial building property installed on or in property owned by a specified tax-exempt entity, the Secretary shall promulgate regulations or guidance to allow the allocation of the deduction to the person primarily responsible for designing the property in lieu of the owner of such property. Such person shall be treated as the taxpayer for purposes of this section. ‘‘(B) SPECIFIED TAX-EXEMPT ENTITY.—For purposes of this paragraph, the term ‘specified tax-exempt entity’ means— ‘‘(i) the United States, any State or political sub- division thereof, any possession of the United States, or any agency or instrumentality of any of the fore- going, ‘‘(ii) an Indian tribal government (as defined in section 30D(g)(9)) or Alaska Native Corporation (as defined in section 3 of the Alaska Native Claims Settle- ment Act (43 U.S.C. 1602(m)), and ‘‘(iii) any organization exempt from tax imposed by this chapter.’’. (7) ALTERNATIVE DEDUCTION FOR ENERGY EFFICIENT BUILDING RETROFIT PROPERTY.—Section 179D, as amended by the preceding provisions of this section, is amended by inserting after subsection (e) the following new subsection: ‘‘(f) ALTERNATIVE DEDUCTION FOR ENERGY EFFICIENT BUILDING RETROFIT PROPERTY.— Definitions. Definition. Regulations. Guidelines. 26 USC 179D. VerDate Sep 11 2014 13:57 Oct 25, 2022 Jkt 029139 PO 00169 Frm 00133 Fmt 6580 Sfmt 6581 E:\PUBLAW\PUBL169.117 PUBL169 jmbennett on LAP3P8D0R2PROD with Publaw