The Inflation Reduction Act of 2022 represents the most significant legislation to combat climate change in our nation’s history. It will drive investment and dynamic economic growth, create new opportunities for workers by supporting good-paying jobs, and lower costs for American families as we build a clean energy economy. The Inflation Reduction Act also promotes broad based economic opportunity, including in low-income communities, energy communities, and communities that have borne the brunt of pollution.
The U.S. Department of the Treasury will be at the forefront of implementation, delivering $270 billion in tax incentives as part of the $369 billion the Inflation Reduction Act dedicates to combating climate change. Treasury will engage a broad spectrum of taxpayers and stakeholders to inform implementation of this landmark legislation, in order to accelerate the building of a clean energy economy while working to ensure no community is left behind.
At the October 4th Freedman’s Bank Forum, senior Treasury officers hosted a roundtable in which participants discussed how treasuries implementation of climate and clean energy tax incentive in the Inflation Reduction Act will help to mobilize capital for critical-climate related investments in low-income and under-invested communities, expand the clean energy economy for businesses and workers in those communities, and lower cost for working families. Building on that discussion this fact sheet outlines four ways the Inflation Reduction Act’s tax incentives will support building an equitable clean energy economy.
