IRA: Timing is everything

Happy New Year!

I spent some time over the holidays making a fun little reference timeline for the IRA credits. The various effective dates can be confusing and I figure it would be helpful to have a birds eye view of when each provision comes into play.

From this angle, we can observe that there are several critical deadlines in which a good chunk of the new IRA credits come into effect or go out of effect: the beginning of this year, 1/1/2023, 1/1/2025, and 1/1/2033.

There are still certain provisions that rely on federal guidance before they are in effect, something that can affect actual deadlines. For example, the guidance for the critical minerals and components requirements for clean vehicles was supposed to be issued by 12/31/2022. Due to a delay in the guidance until March 2023, certain vehicles that qualify for the credit without taking this requirement into consideration can now qualify for the credit until the guidance is issued (like Tesla).

Check out the pdf or spreadsheet versions below and as always, let me know if you have any feedback.

View full sized spreadsheet

Full tax code with the IRA adjustments available from Tax Notes

Past IRA analysis / summaries:

• Clean Vehicle Credit analysis: https://etechmonkey.com/index.php/2022/08/18/you-dont-get-a-credit-and-you-dont-get-a-credit-the-impact-of-iras-new-clean-vehicle-credit/
• Methane fee analysis: https://etechmonkey.com/index.php/2022/08/11/the-iras-methane-reduction-program-is-a-gentle-push-in-the-right-direction/
• IRA Credits Summary: https://etechmonkey.com/index.php/2022/08/04/latest-beach-read-the-inflation-reduction-act/