BRIEFLY NOTED: Senator Charles Grassley takes over as chairman of the Senate tax-writing committee in January
Senator Charles Grassley (R.-Iowa), who takes over as chairman of the Senate tax-writing committee in January, has been an advocate for section 45 tax credits for windpower projects and has also wanted the credit to be available for coal-fired power plants that co-fire with biomass . . . . A World Bank report in October said over 80% of businesses in Uganda pay bribes, and 70% of businesses reported paying more in bribes to corrupt officials than they paid in corporate income taxes. The US Foreign Corrupt Practices Act makes it a crime for US companies or individuals to pay bribes to win business. The law holds people accountable for actions by agents or partners that they should have known would occur. The World Bank report will require greater due diligence when doing deals in Uganda . . . . The IRS said in a “field service advice” in September that utilities may not deduct the cost of removing asbestos insulation at power plants. The cost must be capitalized into the tax basis in the power plant.