Colleagues discuss strategy at a computer

The Inflation Reduction Act (IRA) of 2022 has created tax credit opportunities for clean energy projects in the U.S., but in order to maximize credit opportunities it is vital to strategically site your project. Projects on land designated as low-income, Tribal land or as an "energy community" may be eligible for significantly larger tax credits.

Interested in learning more about energy communities and how to determine the most advantageous site for your project? Watch this on-demand video for a quick overview of:

  1. The Inflation Reduction Act
  2. What defines an energy community and how to ensure eligibility
  3. Ever.green’s interactive map
  4. Learn about Ever.green, a marketplace for buying and selling clean energy tax credits

Footnotes:

  • Investment tax credits and production tax credits: Projects over 1 megawatt must satisfy prevailing wage and apprenticeship requirements to receive the full amount, but there is an exception for projects under 1 megawatt.
  • IRA includes more than 70 credits, but only certain credits are eligible for sale or direct pay
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The information provided here is of a general nature and is not intended to address the specific circumstances of any individual or entity. In specific circumstances, the services of a professional should be sought. Tax information, if any, contained in this communication was not intended or written to be used by any person for the purpose of avoiding penalties, nor should such information be construed as an opinion upon which any person may rely. The intended recipients of this communication and any attachments are not subject to any limitation on the disclosure of the tax treatment or tax structure of any transaction or matter that is the subject of this communication and any attachments.

Solar power and wind energy

IRS issues preliminary guidance on energy communities

On April 4, 2023, the IRS issued Notice 2023-29 (Notice), providing initial guidance on energy communities for purposes of qualifying for one of the bonus energy credit structures under the Inflation Reduction Act (IRA).