Earn cash refund payments for your organization’s current or future clean energy and environmentally-minded projects to help substantially offset your project costs.

Applicable entities— tax-exempt organizations, certain governmental entities, Tribes, and more—have an unprecedented opportunity to leverage tax credits historically provided exclusively to taxable entities through the Inflation Reduction Act’s Elective Pay program, also known as Direct Pay.

Confidently pursue direct pay benefits for green energy projects with our professionals helping you navigate the complex, time-consuming process of registering and claiming credits.

How Your Organization Can Leverage Direct Payment Benefits

In addition to standard solar and wind facilities, specific projects that may be eligible for direct pay can include a range of technologies and initiatives, including:

• Clean hydrogen, fuel, and electricity production
• Energy storage
• Microgrid
• Solar
• Qualified biogas property and waste energy recovery property
• Qualified interconnection property

Commercial clean vehicles and EV charging stations entities eligible to receive direct pay benefits include:

• Tax-exempt entities
• States or political subdivisions thereof and their instrumentalities
• Tennessee Valley Authority
• Federally recognized Tribes
• Alaska Native Corporations 
• Cooperatives engaged in furnishing electric energy to people in rural areas

Other entities pursuing hydrogen fuel, carbon capture, and advanced manufacturing projects may also be eligible for a limited timeframe.

How the Process Works

Our professionals can help determine if your green initiatives qualify for the direct payment program and guide you through the direct pay process:

• Generate Credit. Verify your entity’s eligibility, project’s enhancements, and credit amount.
• Register. Notify the IRS of your intention to claim a credit and complete electronic registration.
• Claim credit. File applicable tax returns or Form 990-T in a timely manner and during determined accounting period.
• Receive refund. IRS guidance indicates payment after due date of return.

Organizations may also need to consider program specifics including how tax-exempt bond financing, grants, or other tax-exempt funding may limit the qualified credit percentage, domestic content minimums, and more.

Additionally, we can identify further credit enhancements your projects may be able to leverage including prevailing wage and apprenticeship (PWA), domestic content (DC), energy community (EC), and environmental justice allocation (EJ).

Expansive Industry and Tax Credit Experience

Deeply immersed in more than 30 industries, our professionals have significant experience guiding organizations to claim tax credits and incentives successfully. We provide solutions specific to the nuances, challenges, and operations of the sector in which you work—customizing plans to meet your unique needs.

With dedicated practices serving renewable energy, construction, oil and gas, power and utilities, Tribal, government services, not-for-profit organizations, and others, we view challenges from the perspective of organizations that may benefit the most from opportunities provided by the Inflation Reduction Act.

Our one-firm approach allows your organization to tap into the full resources of our firm. We integrate guidance related to integral support areas to pursue credits, incentives, and other opportunities including tax; transactions; environmental, social, and governance (ESG); and other services.