IRS corrects renewable electricity production inflation factors, reference prices for 2022

The IRS released a correction of certain errors in a prior notice.

The IRS released a correction of certain errors in a prior notice.

The IRS released on April 13, 2022 a notice [PDF 170 KB] (as published in the Federal Register on April 14, 2022) that provides the 2022 inflation adjustment factor and reference prices used in determining the availability of the credit for renewable electricity production under section 45. Read TaxNewsFlash

The IRS today released a correction [PDF 173 KB] (published in the Federal Register on May 6, 2022) of certain errors in the prior notice. Specifically, the IRS made the following corrections:

Credit rates

  • The 2022 credit rate on the sale of electricity produced from wind, closed-loop biomass, and geothermal energy facilities claiming the renewable electricity production credit is 2.6 cents per kilowatt hour (corrected from 2.7 cents in the prior notice).
  • The credit rate on the sale of electricity produced in open-loop biomass, landfill gas, municipal solid waste, qualified hydropower production, and marine and hydrokinetic renewable energy facilities is 1.3 cents (corrected from 1.4 cents in the prior notice). 

Reference prices

  • The inflation adjustment factor for 2022 for qualified energy resources is 1.7593 (corrected from 1.8012 in the prior notice).

 

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