GOP Tax Law Likely to Reduce Energy Credit Claims: BGOV Tax

Energy Credit Restrictions Hinder Developers

Less than one month after Republicans passed their sprawling tax-and-spending package, new rules in the law to prevent foreign influence in clean energy projects are hampering developers, tax advisers said.

The $3.4 trillion law largely accelerated phase outs or ended clean energy tax credits in the Democrats’ 2022 climate law, long a target of Republicans and President Donald Trump.

Starting next year for wind, solar, and advanced manufacturing projects, the new law also limits use of parts and contracts that can be linked to prohibited foreign entities. But tracing those ties is complicated and time ...