How Nonprofits Can Benefit from Clean Energy Tax Credits in the Inflation Reduction Act

April 2024 The Inflation Reduction Act (IRA) of 2022 contains numerous provisions that create or expand tax incentives for the use of and investment in clean energy technologies. In the past, these benefits have only been available to for-profit businesses. Nonprofit organizations with tax-exempt status have not been able to take advantage of incentives like tax credits. The IRA changes this by providing an “elective pay” option, also known as “direct pay,” for many incentives. This makes certain tax credits essentially refundable for nonprofit organizations. Now is therefore an excellent time for nonprofits to consider making “green” improvements to their facilities, building more energy-efficient facilities, or investing in clean energy technologies like solar power or electric vehicles. View the full article here.