Are residents of Puerto Rico and other territories eligible to receive the tax credits for energy efficiency?

While the IRS has not issued guidance on this issue, we believe the answer is no. The law on energy efficiency tax credits does not specify the meaning of the United States. However, the law, 26 US Code 7701 (a) defines the United States as:

9) The term “United States” when used in a geographical sense includes only the States and the District of Columbia.