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                      Fill 29
                      12.3.2024

                      IRA: prevailing wage and apprenticeship requirements to boost tax credits for sustainable energy projects

                      Market and policy

                      In the U.S., under the Inflation Reduction Act, taxpayers who meet prevailing wage and apprenticeship requirements can significantly increase their tax credits. For instance, complying with these conditions raises the base rate of the investment tax credit from 6% to 30% and can increase total credits from 8% to 40%. Eligible incentives include credits for clean energy production, hydrogen, carbon capture, and more. This framework promotes adherence to labor standards while advancing sustainable energy projects.

                      Original language: English
                      Origin: USA

                      Speaker

                      Sara Hutton
                      Senior Manager, Tax Services, RSM U.S.

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