IRS issues new rules for clean electricity tax credits

The Treasury Department and the Internal Revenue Service have announced final rules for the Clean Electricity Investment and Production Tax Credits in Sections 45Y and 48E of the Tax Code, designed to lower energy costs and support clean energy job growth. Taxpayers must meet specific standards, including paying prevailing wages and employing registered apprentices, to qualify for the full credits. According to the Department of Energy, these credits could save American families up to $38bn on electricity bills by 2030. Treasury Secretary Janet L. Yellen stated: “The final rules issued today will help ensure America’s clean energy investment boom continues.” However, the incoming Trump administration has expressed opposition, with President-elect Trump stating, “We’re going to try and have a policy where no windmills are being built.” The rules clarify which technologies qualify for the credits, including wind, solar, and nuclear energy.