Credits and Deductions Under the Inflation Reduction Act of 2022

The IRS is working on implementing the Inflation Reduction Act of 2022. This major legislation will affect individuals, businesses, tax exempt and government entities.

We’ll post guidance for taxpayers on all credits and deductions from the Inflation Reduction Act as it becomes available. Please check back regularly for updates.

Clean Vehicle Credits

Credits for New Clean Vehicles Purchased in 2023 and After (updated March 31, 2023)
Credits for New Electric Vehicles Purchased in 2022 and Before
Credits for Used Clean Vehicles
Commercial Clean Vehicle Credit
Incentives for Biodiesel, Renewable Diesel and Alternative Fuels

Related guidance for these credits:

Federal Register: Public Inspection: Section 30D New Clean Vehicle Credit (added March 31, 2023)
Clean Vehicle Credit Seller or Dealer Requirements
Clean Vehicle Credit Qualified Manufacturer Requirements

Other Energy-Related Credits and Deductions

Advanced Energy Project CreditPDF
Clean Electricity Investment Credit
Clean Electricity Production Credit
Clean Fuel Production Credit
Clean Hydrogen
Credit for Carbon Oxide Sequestration
Credit for Electricity Produced from Certain Renewable Resources (added April 4, 2023)
Energy Credit for Solar and Wind FacilitiesPDF
Energy Efficient Commercial Building Deduction
Energy Efficient Home Improvement Credit (added March 28, 2023)
Residential Clean Energy Credit (added March 28, 2023)
Second Generation Biofuel Incentives
Sustainable Aviation Fuel Credit
Zero-Emission Nuclear Power Production Credit

For an interactive guide to energy credits available under the Inflation Reduction Act, visit cleanenergy.gov.

Bonus Incentive Credits

Qualifying energy projects that also meet other specific criteria may be eligible for additional tax credit amounts (also known as bonuses). Check back for details on these bonuses.

Low-Income Communities (added April 4, 2023)
Energy CommunitiesPDF (added April 4, 2023)
Prevailing Wage & Apprenticeship (added April 4, 2023)
Domestic Content

Elective Payment and Credit Transfer

The Inflation Reduction Act of 2022 allows new ways for ensuring eligible taxpayers receive their credits. Check back for details and to learn how we plan to implement them.

Elective Payment of Applicable Credits
Transfer of Certain Credits

Credits for Individuals

From purchasing clean vehicles to making your home more energy efficient, the Inflation Reduction Act of 2022 may have a significant effect on your taxes.

Credits for New Electric Vehicles Purchased in 2023 and After (updated March 31, 2023)
Credits for New Clean Vehicles Purchased in 2022 and Before
Used Clean Vehicle Credit
Home Energy Tax Credits
Energy Efficient Home Improvement Credit (added March 28, 2023)
Residential Clean Energy Credit (added March 28, 2023)

Credits and Deductions for Businesses

Advanced Energy Project CreditPDF
Advanced Manufacturing Investment Credit
Advanced Manufacturing Production Credit
Clean Electricity Investment Credit
Clean Electricity Production Credit
Clean Fuel Production Credit
Clean Hydrogen
Credit for Carbon Oxide Sequestration
Credit for Electricity Produced from Certain Renewable Resources (added April 4, 2023)
Credits for New Clean Vehicles Purchased in 2023 and After (updated March 31, 2023)
Credits for New Electric Vehicles Purchased in 2022 and Before
Commercial Clean Vehicle Credit
Energy Credit for Solar and Wind FacilitiesPDF
Energy Efficient Commercial Building Deduction
Energy Efficient Home Credit
Incentives for Biodiesel, Renewable Diesel and Alternative Fuels
Research Credit against Payroll Tax for Small Businesses
Second Generation Biofuel Incentives
Sustainable Aviation Fuel Credit (added December 19, 2022)
Zero-Emission Nuclear Power Production Credit

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