In a recent report, the Government Accountability Office sheds more light into the current administration’s regulatory plans on energy-related tax expenditures—clean vehicles, electricity generation and energy efficient buildings. 

The report also looks into the implementation status of the Unified Agenda of Federal Regulatory and Deregulatory Actions, which is set to be published in spring 2025. The GAO also noted that since it's review, there have been legislative proposals to limit some of these expenditures.

In the May 19 report, the GAO outlined key questions for evaluating the 21 tax expenditures tied to clean energy, ranging from electric vehicles to energy-efficient buildings. These credits are expected to cost the federal government at least $200 billion in lost revenue by 2031, according to the Joint Committee on Taxation.

The report does not take a stance on specific provisions but emphasizes the need for more structured oversight. It notes that agencies like the Department of Treasury and the Office of Management and Budget lack a consistent process to assess how well these tax breaks meet policy goals. A 2005 recommendation to build a framework for reviewing tax expenditures still has not been implemented. 

With lawmakers considering rollback of some IRA provisions, the GAO’s message seems to be that these tax breaks are significant federal commitments and their performance deserves regular review. 

The GAO suggests policymakers ask practical questions: Are agencies tracking outcomes? Are reporting burdens on taxpayers reasonable? Is there a plan to monitor fraud? 

The tax expenditures "are ambitious in scale and scope, with potentially significant financial impacts," the GAO said in in the report. "As such, GAO identified questions to support effective oversight related to performance evaluation and effective administration."