Treasury Releases Guidance on New Energy Tax Credit Labor Provisions
The Treasury Department on Nov. 29 released initial guidance in IRS Notice 2022-61 regarding the Inflation Reduction Act’s labor requirements that apply to some of the energy tax incentives.
To claim the full credit amount for certain incentives, taxpayers are required to pay workers the “prevailing wage,” and in other cases, also hire a certain number of registered apprentices.
The prevailing wage and apprenticeship requirements apply to the Section 45 Production Tax Credit, the Section 48 Investment Tax Credit, and the Section 179D Energy Efficient Commercial Buildings Deduction, among others.
The prevailing wage requirements also apply to the Section 45L New Energy Efficient Home Tax Credit.
The Department of Labor separately issued two Frequently Asked Question (FAQ) documents to help taxpayers comply with these requirements: One on prevailing wage and the other on apprenticeships.
Learn more about the Inflation Reduction Act.
Latest from NAHBNow
Advocacy
Nov 19, 2025
NAHB Offers Lawmakers Recommendations on National E-Verify SystemNAHB today offered Congress several recommendations to make a national E-Verify employment verification system workable for small businesses and members of the residential construction industry.
Advocacy | Economics
Nov 18, 2025
Podcast: Latest Housing Developments Live from Fall MeetingIn the latest episode of NAHB's podcast, Housing Developments, CEO Jim Tobin and COO Paul Lopez discuss recent developments in the housing market live from the NAHB Fall Leadership Meeting in Denver.
Latest Economic News
Economics
Nov 19, 2025
Affordability Impacts: Young Adults Are Once Again Moving Back HomeThe share of young adults living with parents increased in 2024, interrupting the post-pandemic trend of moving out of parental homes.
Economics
Nov 18, 2025
Location, Location, Location: How Place and Neighborhood Shape Home ValuesThe value of a single-family home depends not only on its physical features but also on its location and neighborhood context.
Economics
Nov 18, 2025
Builder Sentiment Relatively Flat in November as Market Headwinds PersistMarket uncertainty exacerbated by the government shutdown along with economic uncertainty stemming from tariffs and rising construction costs kept builder confidence firmly in negative territory in November.