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Government Relations & Public Policy

Real Estate Groups Request Clarity on Clean Energy Incentives

November 14, 2022

ICSC and other real estate organizations have submitted comments to the IRS regarding the clean energy tax credits included in the Inflation Reduction Act enacted this summer. 

The law allows taxpayers to elect to receive the credits as a direct payment or to transfer the credits to a third party. The policy is designed to encourage taxpayers who are not otherwise able to use a tax credit to invest in clean energy production. For example, a REIT that installs solar panels on its property could sell its credits to a retailer or other taxpayer. 

The letter requests guidance to ensure that the new rules will apply to entities with both taxable and tax-exempt investors and was signed by ICSC, National Multifamily Housing Council, 
Council for Affordable and Rural Housing, Nareit, National Affordable Housing Management Association, National Apartment Association, National Association of Home Builders, 
National Leased Housing Association and The Real Estate Roundtable. 

For more information contact Phillips Hinch at phinch@icsc.com.