Is your tax-exempt organization working on major construction or
renovations on your property? Or considering purchasing new
energy-efficient cars for your organization? If so, there is some
good news for you.
The Inflation Reduction Act of 2022 ("the Act"),
signed by President Biden on August 16, 2022, includes a wide range
of tax incentives for alternative energy and energy-efficient
projects. The Act extends existing tax credits and adds new tax
credits for a wide range of projects—everything from solar
panel installation to electricity produced at zero-emission nuclear
plants.
The Act also creates an opportunity for tax-exempt organizations
to enjoy some of the tax benefits associated with these types of
projects, which traditionally have not been as available to them.
Prior to the Act, there was no way for tax-exempt organizations to
take advantage of the tax deduction under Section 179D of the
Internal Revenue Code for constructing new commercial buildings
