The Internal Revenue Service on Dec. 22 unveiled the IRS Energy Credits Online pre-filing registration tool for taxpayers who intend to receive a direct payment or transfer a clean energy credit.
Established by the Inflation Reduction Act, elective pay (or “direct pay”) and transferability are credit monetization mechanisms to help states, local governments, non-profits, and other eligible entities access clean energy tax credits.
Entities will use IRS Energy Credits Online to complete a required pre-filing registration process and receive a registration number.
The registration number must be included on the taxpayer’s annual return when making an elective payment or transfer election for a clean energy credit.
The portal was “soft launched” and available to invited entities since mid-November.
The American Public Power Association has been working with several public power utilities involved in this soft launch and the Department of Treasury to address any initial issues.
On January 9, the Department of Treasury will host an elective pay webinar and provide an overview of the pre-filing registration process.
Register in advance for this briefing at: https://ustreasury.zoomgov.com/webinar/register/WN_IuqDJGlhS3KtMKBb5cWzmg#/registration