Federal Environmental Justice Tracker

EJ Tracker Update

Treasury and IRS Issued a Proposed Rule to Expand Tribal Access to Clean Energy Tax Credits

Last updated:

October 7, 2024

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Other Statute

Agencies

IRS, Treasury

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Proposed Rule

Treasury and IRS issued a Notice of Proposed Rulemaking to clarify that wholly-owned Tribal entities have the same tax status as the Tribes that own them. This rule would make Tribally chartered entities eligible for certain Inflation Reduction Act clean energy tax credits. Federally chartered Tribal corporations and wholly owned Tribal entities will be able to directly register for and claim clean energy tax credits through a payment mechanism known as elective pay. Comments were due by Jan. 7, 2025.