Massive Tax Break for our Investors

The Inflation Reduction Act (IRA) of 2022 has created new tax laws for green energy companies and clean energy projects, including:

• Tax credit transferability
  This allows owners of solar and wind projects to deduct the amount they invest in building the project or subtract the value of the energy they sell from their taxes. 
  
• Investment Tax Credit (ITC)
  This credit is a dollar-for-dollar credit for expenses invested in renewable energy properties, such as solar developments. The IRA extended the ITC through 2032, with the credit percentage decreasing each year. 
  
  
• Renewable Energy Production Tax Credit
  This credit provides up to 2.75 cents per kilowatt-hour of electricity generated from qualified renewable energy sources. Taxpayers must meet prevailing wage standards and employ a sufficient proportion of qualified apprentices to receive the credit. 
  
  
• Bonus credit
  A 10% bonus credit is available for qualifying clean energy production in energy communities. 
  
  
• Elective pay
  This allows eligible entities to access the full value of clean energy incentives by making certain clean energy credits refundable. Eligible entities include state and local governments, tribal entities, public school districts, rural electric co-ops, and tax-exempt organizations.