Last Wednesday night, after weeks of negotiations, US Senators Joe Manchin and Chuck Schumer reached a deal on an energy and healthcare bill titled the Inflation Reduction Act of 2022 (the “Act”). The Act includes extensive provisions relating to green energy tax incentives. Although these provisions incorporate the general tax credit framework from the previously released Build Back Better Act, there are a number of noteworthy deviations, some of which were largely unexpected. This Legal Update analyzes the Act’s key green energy tax provisions.
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