The Inflation Reduction Act’s Impact on Client Portfolios

It’s still early, but certain investments are poised to benefit from the new law’s tax incentives.

Signed into law by President Joe Biden in August, the Inflation Reduction Act aims to subdue health care costs and address climate change.

The new law includes tax credits for producers of hydrogen, nuclear and wind energy, as well as carbon-capture technologies, biofuels, residential solar systems and heat pumps. Lesser-known aspects of the legislation include incentives for sourcing U.S.-produced iron, steel and other construction elements.