2022 Inflation Reduction Act and CHIPS Act Highlights

Author: Annette Nellen

Two bills with tax provisions made their way through Congress to the President’s signature pen in August! The first one - the CHIPS and Science Act, is a bipartisan bill to address the chip shortage and supply chain concerns via R&D funding including a new Advanced Manufacturing Investment Credit. The second bill - the Inflation Reduction Act (IRA) of 2022 has provisions pertinent to most taxpayers.

This course focuses on the IRA tax provisions most relevant to individuals and small businesses including energy credits for homes and vehicles, expanded availability of the Premium Tax Credit for health insurance, and increased research credit for start-up businesses. Comparisons to the Build Back Better Act passed in the House in November 2021 and the President's tax proposals are also noted along with what additional tax changes we might see this year from Congress.

Publication Date: August 2022

Topics Covered

• Key tax provision of the CHIPS and Science Act
• Key tax provisions of the Inflation Reduction Act applicable to individuals and small businesses
• Rationale for these Acts, what BBB items were omitted and what tax provisions might still be considered for 2022

Learning Objectives

• Identify the key tax provisions of the Inflation Reduction Act of 2022 applicable to individuals and small businesses
• Describe the rationale, cost and key tax provision of the CHIPS Act of 2022
• Recognize how to explain the rationale for these Acts, what BBB items were omitted, and what tax provisions might still be considered for 2022
• Describe which Subtitle of the Inflation Reduction Act of 2022 relates to prescription drug pricing reform
• Identify the amount to enforcement the new $80 billion in IRS funding allocates
• Recognize what amount for vans, SUVs, and pickup trucks the Clean Vehicle Credit includes as an MSRP credit limitation

Level
Update

Instructional Method
Self-Study

NASBA Field of Study
Taxes (1 hour)

Program Prerequisites
Practitioners at all levels who are looking for a way to efficiently stay on top of key federal developments.

Advance Preparation
None