Verdex

Regulations

The rules the map answers

Each rule in one line, who it is for, and the map with that lens on.

Solar · Batteries

FEOC

A clean energy tax credit under §45X, §45Y or §48E is lost if the taxpayer is a prohibited foreign entity, or if too much of the project or the component comes from one.

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A supplier counts as prohibited when it is owned or controlled from China, Russia, Iran or North Korea, directly or through ownership above a threshold, debt, board seats or licensing.

The map colors every solar and battery company by who owns it in the registries, and a full screen adds the government lists, so you can see where a chain is exposed before you file.

For: Anyone claiming §45X, §45Y or §48E credits, and the suppliers whose parts go into those projects.

Open on the solar map

Also on the battery map.

Chips

CHIPS and export controls

CHIPS Act funding comes with guardrails: no expansion in a country of concern and no joint research with an entity of concern, for ten years.

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Export controls add their own lists: a company on the Entity List or the sanctions list needs a license most will not get, and some named chip makers are barred from federal procurement from late 2027.

The map colors every semiconductor company by those lists and by the same ownership test, so a fab, its suppliers and its tool makers can be checked at a glance.

For: CHIPS award recipients, their suppliers, and anyone selling into or buying from the chip supply chain under US export rules.

Open on the chip map

All sectors

Country of origin

Where a part is made decides tariffs, local-content credits and which rules apply, and the answer is a plant, not a head office.

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The map places every company at its headquarters and lists the production places on its record, with the country of each.

Search a country on the map to read a chain by geography, and every company card names its country.

For: Buyers filing domestic-content or tariff paperwork in any of the three sectors.

Open on the map, by country

Also on batteries and chips.

A rule that is not here yet is a conversation: say which one when you write to us.

FEOC · Reading

Plain-language explainers with primary-source citations.

GuidanceRecent updates to FEOC compliance based on IRS Notice 2026-15The first real guidance: what the notice says about prohibited foreign entities, the cost ratio and supplier certifications, and what it leaves open.Read DefinitionsWhat is a Prohibited Foreign Entity?Specified and foreign-influenced entities: how each is defined, and why either one costs you the credit.Read Structural riskThe 25% ownership thresholdHow the 25% and 40% ownership tests work, and how one licensing deal can make a supplier foreign-influenced.Read Legal advisory§6695B and the new attestation liabilityA supplier's certificate is not enough on its own. What §6695B puts on the line, and what your file needs to hold.Read

Timeline

  1. Jul 4, 2025 FEOC

    Ownership prohibition takes effect

    No §45X, §45Y or §48E credit for a taxpayer that is itself a prohibited foreign entity, for tax years after this date. §45X material-assistance limits apply to components sold after it.

  2. Dec 31, 2025 FEOC

    Facilities beginning construction after this date

    The §45Y and §48E material-assistance thresholds apply to qualified facilities and storage that begin construction after this date.

  3. 2026 FEOC

    First-year thresholds

    Material-assistance cost ratios start at 50% for solar components and 60% for battery components under §45X, 40% for qualified facilities and 55% for storage under §45Y and §48E, and rise every year to 2030.

  4. Feb 12, 2026 FEOC

    IRS Notice 2026-15

    The first substantive guidance on how prohibited-foreign-entity restrictions work: calculation mechanics, certifications, what is still open.

  5. Dec 31, 2026 FEOC

    Safe-harbor tables due

    The IRS is to publish the safe-harbor tables for the material-assistance cost ratio by this date.

  6. Dec 23, 2027 CHIPS

    Federal procurement ban on named chip makers

    Under the FY23 NDAA §5949, federal procurement of semiconductors from the named manufacturers is barred from this date.

  7. 2030 FEOC

    Thresholds reach their ceiling

    Material-assistance cost ratios reach 85% for §45X components and keep rising for facilities, after which they hold.

In the news

The FEOC framework, in questions

What are the FEOC requirements for clean energy tax credits?

How do I determine if a supplier is a Foreign Entity of Concern?

What is the Material Assistance Cost Ratio (MACR)?

What does §6695B change about my personal liability?

How do the new PFE rules differ from the old FEOC rules?