Wisconsin manufacturers and other businesses can access federal tax credits through the Inflation Reduction Act (IRA) by making sustainability investments, according to a report from WisBusiness.
For companies to get the full tax credit incentives, they need to pay prevailing wages for new projects and offer apprenticeship opportunities with a clear path to eventual employment, according to federal officials. For example, companies that don’t meet those labor standards could receive a 6% tax credit. But companies that do pay prevailing wages and offer apprenticeship programs can qualify for a 30% tax credit.
Some of the tax credits available include:
- A tax credit of up to $40,000 for large vehicles such as an EV truck. Tax credits for biofuels and sustainable airplane fuels are available through the law.
- Funding to help industrial facilities reduce greenhouse gas emissions by at least 20%.
- A tax credit that allows manufacturers to benefit from “advanced manufacturing production” and covers solar, wind, batteries, inverters, and production of critical minerals such as aluminum.
