Advocacy’s Comments on IRS’s IRA Prevailing Wage and Apprenticeship Initial Guidance
On November 30, 2022, the Internal Revenue Service published a notice of initial guidance (Notice 2022-61) regarding prevailing wage and apprenticeship requirements applicable to certain energy tax incentives found in the Internal Revenue Code, as amended by the Inflation Reduction Act of 2022. Notice 2022-61 establishes that prevailing wage rates will be determined using information published by the Department of Labor and that the required apprentices must be participating in a registered apprenticeship program, among other provisions.
On January 13, 2023, the Office of Advocacy (Advocacy) issued a comment letter to the Department of the Treasury and IRS, encouraging the withdrawal of Notice 2022-61. Advocacy further recommended that IRS issue a notice of proposed rulemaking related to the IRA’s PW&A requirements.