The Inflation Reduction Act directs $369 billion to energy security and climate change programs, including tax incentives for renewables, energy storage, hydrogen, electric vehicles and other resources that are helping to decarbonize the U.S. economy. All that money requires rules and guidance around who’s eligible to get the credits, how they can be applied and other questions. The Treasury Department has proposed rules in a number of areas, with more to come.
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IRA implementation heats up as Treasury clarifies rules for billions in clean energy incentives
The Treasury Department has released proposed rules on everything from transferring tax credits to domestic component requirements to qualify for certain IRA incentives, with more rules to come.
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First Solar, 10 other companies urge IRS to adopt hourly time-matching rules for green hydrogen tax credits
By Emma Penrod • June 20, 2023As more companies agree that hourly matching would reduce emissions and encourage growth, timing the transition to that standard is now the key area of debate, a legal officer for Electric Hydrogen said. Read the full article ➔
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IRS guidance on renewable tax credit transferability, direct-pay provisions of IRA, garners mixed reviews
By Emma Penrod • June 15, 2023Inflexibility around the Inflation Reduction Act’s domestic content requirements threatens nonprofits’ ability to own and develop renewable energy, Large Public Power Council President John Di Stasio said. Read the full article ➔
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Treasury issues further guidance for IRA’s $10B tax credit incentivizing clean energy manufacturing
By Diana DiGangi • June 1, 2023The 48C investment tax credit and a related manufacturing tax credit, 45X, are “very substantial” credits that many companies aren’t aware of, said Moss Adams partner and certified public accountant Peter Henderson. Read the full article ➔
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IRS details which renewable energy components must be made in the US to qualify for IRA tax credits
By Emma Penrod • May 15, 2023The U.S. Department of Treasury and Internal Revenue Service notified owners of green energy projects — wind, solar and energy storage — how to apply tax rules for domestic content bonus credits. Read the full article ➔
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IRS guidance ‘appears to overestimate’ extent of energy communities under IRA: Charles River Associates
By Diana DiGangi • April 19, 2023“At this time, I think we want to be careful not to say that the IRS was wrong per se, but that there is definitely a need for further diligence on this topic, and it should be monitored closely,” said CRA Associate Ryan Iyer. Read the full article ➔
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IRS guidance clarifies ‘energy community’ definition for IRA tax credit eligibility
By Diana DiGangi • April 4, 2023The guidance establishes which brownfield sites and coal communities qualify as energy communities for project development, as well as including offshore wind transmission sites as credit-eligible. Read the full article ➔
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US issues Inflation Reduction Act guidance to drive billions to low-income and coal communities
By Ethan Howland • Feb. 14, 2023At least $4 billion of the tax credits under the expanded Qualifying Advanced Energy Project Credit program must go to projects at closed coal mines or retired coal-fired power plants. Read the full article ➔
