IRS looks for more feedback on green energy tax credit rules

The Internal Revenue Service released three notices Thursday asking for comments on the guidance it should issue related to some of the renewable energy-related provisions of the Inflation Reduction Act.

The Inflation Reduction Act, which Democrats in Congress passed in August, expands and extends a number of tax credits aimed at encouraging the use of renewable energy sources.

The IRS has been tasked with drawing up guidance for the new law, and is seeking constructive comments to help it draft the information that will help taxpayers claim the energy-related tax credits. The three notices released Thursday include:

• Notice 2022-56 requests comments related to the qualified commercial clean vehicles provisions and the alternative fuel vehicle refueling property.
• Notice 2022-57 requests comments related to the credit for carbon capture.
• Notice 2022-58 requests comments related to the credit for the production of clean hydrogen and the clean fuel production credit.

Last month, the IRS asked for comments on guidance related to several other energy-related provisions of the Inflation Reduction Act, including tax credits for clean vehicles, energy security tax credits for manufacturing, incentive provisions for improving energy efficiency of residential and commercial buildings, energy generation incentives, elective payment and transfer of certain credits, and prevailing wage, apprenticeship, domestic content and energy community requirements.

Michael Nagle/Bloomberg