Part 2

Environment

Domestic microgeneration

Income tax exemption for domestic microgeneration
20
1
In ITTOIA 2005, after section 782 insert—

Domestic microgeneration
782A
1
No liability to income tax arises in respect of income arising to an individual from the sale of electricity generated by a microgeneration system if—
a
the system is installed at or near domestic premises occupied by the individual, and
b
the individual intends that the amount of electricity generated by it will not significantly exceed the amount of electricity consumed in those premises.
2
In subsection (1)—
- “domestic premises” means premises used wholly or mainly as a separate private dwelling, and
- “microgeneration system” has the same meaning as in section 4 of the Climate Change and Sustainable Energy Act 2006.
2
The amendment made by subsection (1) has effect for the tax year 2007-08 and subsequent tax years.