$30+ Billion in Tax Credits at Risk.
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Expert FEOC due diligence for 45X, 45Y, and 48E clean energy projects.

The Problem

Hidden FEOC Entities Can Disqualify Your Credits

The FEOC rules are extremely onerous. They are extremely complicated. They have multiple traps for the unwary.

Lauren Collins

Tax Partner, Vinson & Elkins LLP

Utility Dive
It is not clear how U.S. developers will be able to spot such arrangements.

Norton Rose Fulbright

Working Through The FEOC Maze

Project Finance Law
Material assistance rules are really the thing that's causing people to lose sleep in the 45X context.

Elizabeth Crouse

Partner, Holland & Knight

Thomson Reuters

What We Deliver

Comprehensive FEOC Risk Assessment

A complete supplier risk audit delivered in 2 weeks—PDF report, Excel workbook, and expert walkthrough.

Entity Risk Analysis

Your suppliers screened against Trade.gov restricted lists, OFAC, and Entity List databases to identify FEOC risks.

Ownership & Contract Tracing

Ownership structures mapped across multiple tiers to uncover hidden foreign entity connections.

MACR Calculation

Material Assistance Cost Ratios calculated against IRS thresholds to determine your 45X/45Y/48E eligibility.

Sample Output

Verdex
FEOC Supplier Risk Audit

Project: Battery Manufacturing Supply Chain

Sample Report Preview

Screening Results

Total
16
High
5
Medium
4
Low
7
SupplierRiskStatus
CATL
China • Tier 1
HIGH⚠ Flagged
LG Energy Solution
S. Korea • Tier 1
LOW✓ Clear
Ganfeng Lithium
China • Tier 2
MEDIUM⚡ Review

MACR Calculation (45X Battery)

Material Assistance Cost Ratio68%
2026 Threshold: 60%✓ Compliant

Ownership Analysis

CATL → Ningde TimesSFE Detected
Ganfeng → State-owned Fund15% Ownership
LG Energy → LG Corp (KR)No FEOC Ties

Recommended Actions

5 high-risk suppliers require alternative sourcing. MACR threshold met for 2026 but at risk for 2027 (70% required).

Contact

Get in Touch

Book a call to discuss your project's FEOC verification requirements.