Kentucky established the Incentives for Energy Independence Act to promote the development of renewable energy and alternative fuel facilities, energy efficient buildings, alternative fuel vehicles, research & development activities and other energy initiatives. For renewable energy facilities, the bill provides incentives to companies that build or renovate facilities that utilize renewable energy, which may include:  up to 100% of the Kentucky income tax or the limited liability entity tax; sales and use tax incentives of up to 100%; and a wage assessment of up to 4% for associated employees.  The tax credit allows approved facilities to receive a credit up to 100% of Kentucky income tax and the limited liability tax for projects that construct, retrofit or upgrade facilities that generate power from renewable resources.  In addition, companies may also receive a sales tax incentive of up to 100% of the Kentucky sales and use tax paid (on or after the activation date) on materials, machinery and equipment used to construct, retrofit or upgrade an eligible project. Approved companies may also require that employees whose jobs were created as a result of the associated project, as a condition of employment, agree to pay a wage assessment of up to 4% of their gross wages. Employees will be allowed a Kentucky income tax credit equal to the assessment withheld from their wages.  The maximum recovery for a single project from all incentives, including the income and liability entity tax credit, sales tax refund and the wage assessment, may not exceed 50% of the capital investment.  To learn more, contact:  Office of Energy Policy, Capital Plaza Tower, 12th Floor, 500 Mero Street, Frankfort, KY 40601; 502-564-7192; http://www.lrc.ky.gov/KRS/154-27/CHAPTER.HTM or http://www.energy.ky.gov/