H.R. 3325 — CHEERS Act

This section expands the energy efficient commercial buildings deduction to include qualified energy-efficient draft property placed in service after December 31, 2024. Qualified energy-efficient draft property includes stainless steel or aluminum containers or related commercial tap equipment used for the distribution and sale of alcohol, principally in the trade or business of operating a restaurant, bar, or entertainment venue, provided it meets specified energy efficiency certification requirements. (As background, the deduction allows building owners or lessees a tax deduction for installing qualifying interior lighting, HVAC, and other systems that reduce energy and power costs by at least 25% compared to a reference building; the Secretary of the Treasury must issue regulations to implement this provision, including for leased property.)