Inflation Reduction Act Of 2022

What Is the Inflation Reduction Act of 2022? The Inflation Reduction Act of 2022 (H.R. 5376) was designed to reduce the deficit and lower inflation while investing in domestic energy production and lowering healthcare drug costs. The bill became law with President Biden's signature on Aug. 16, 2022. In essence, the law is a scaled-down version of the Build Back Better Act proposed by the Biden administration in 2021. The law was expected to raise $739 billion, have a total investment amount of $433 billion, and result in a deficit reduction of more than $300 billion. It allowed Medicare to negotiate lower prescription drug prices and extended the expanded Affordable Care Act (ACA) program for three years through 2025. The law also established policies to promote and support domestic energy and transmission projects. The goal was to lower consumer costs and help the United States meet long-term emissions goals. Key Takeaways The Inflation Reduction Act of 2022 was a reduced version of the Biden administration's proposed Build Back Better Act. At the end of the decade, according to Democrats, the United States will realize a deficit reduction of more than $300 billion while lowering inflation, investing in energy production, and reducing healthcare costs. Of the anticipated $739 billion in revenue, $313 billion was forecast to be from a 15% corporate minimum tax. Understanding the Inflation Reduction Act of 2022 According to the White House, the Inflation Reduction Act was going to be "the single largest investment in climate and energy in American history." Spending was designed to lower energy costs, increase cleaner energy production, and reduce carbon emissions by 40% by 2030. The law accomplished a long-standing Democratic goal to allow Medicare to negotiate lower drug prices, although there are limits to the number of drugs affected and the time frame involved. Another plus was a $2,000 annual cap on out-of-pocket drug costs. ACA healthcare premiums were also supposed to be lowered for millions of Americans for three years under the law. A significant funding source for programs in the law was a 15% corporate minimum tax on large corporations that report book income averaging more than a billion dollars per year. The law imposed no new taxes on families who made $400,000 or less annually or on certain small businesses. What's in the Inflation Reduction Act? Revenue and spending were estimated as follows, according to the Congressional Budget Office (CBO), the Joint Committee on Taxation (JCT), and Senate estimates.  Amount Source REVENUE $313 billion 15% corporate minimum tax $288 billion Prescription drug pricing reform $124 billion Enhanced Internal Revenue Service (IRS) tax enforcement $14 billion Carried loophole interest $739 billion Total revenue raised INVESTMENTS $369 billion Energy security and climate change investment $64 billion Affordable Care Act (ACA) extension $433 billion Total investments $306 BILLION TOTAL DEFICIT REDUCTION Each component of the 725-page bill fell under one of two areas listed in the table: revenue or investments. Since the law raises more revenue than the amount spent, the difference between the two is available for deficit reduction. Following are highlights of some of the most notable features of the Inflation Reduction Act of 2022: 15% Corporate Minimum Tax The law introduced a new 15% minimum tax on corporations to help pay for climate and healthcare measures. The tax applies to companies that generate $1 billion in annual earnings. The Joint Committee on Taxation (JCT) estimated that the tax would raise $313 billion in revenue over the next decade. Exemptions from the tax demanded by Sen. Kyrsten Sinema (then-D-Ariz.) to secure her "yes" vote included: Prescription Drug Pricing Reform The law allowed Medicare to negotiate prices for some drugs for the first time. This is a policy that Democrats have attempted to enact, over objections from the pharmaceutical industry, for many years. The provisions are expected to save $265 billion over 10 years, according to analysis by the CBO. Specifically, the law let Medicare negotiate lower prices for 10 high-cost drugs beginning in 2026. This jumps to 20 drugs by 2029. Companies that refuse to negotiate will be subject to a sales tax of up to 95% on that drug. The law included a ceiling on the negotiated price of the specified drug. Moderate Democrats, then including Sinema, inserted a requirement that price negotiations only apply to older drugs (nine years for most and 13 years for biologic drugs). 95% Sales tax penalty levied on companies that refuse to negotiate drug prices with Medicare. The law capped out-of-pocket drug costs at $2,000 a year for Medicare beneficiaries starting in 2025. It also capped insulin costs for people on Medicare to $35 a month. The original proposal called for a cap on both Medicare and private insurance patients, but Republicans voted against extending protection to those on private plans. Other drug cost caps, which mostly apply to Medicare beneficiaries, were also in the law. Those who purchased insurance under private plans were largely excluded from these caps because Senate rules limit how expansive such provisions can be. A further protection mandated that drug companies that raise prices on Medicare faster than the rate of inflation must pay rebates to the government for the price difference. Enhanced IRS Tax Enforcement The Inflation Reduction Act of 2022 allocated $76 billion to increase enforcement by the Internal Revenue Service (IRS). Supporters of the measure hoped that additional employees and better technology would allow the IRS to catch more tax cheats, especially among the ultra-wealthy. The CBO believes this could boost IRS revenue by at least $201 billion over the next decade. Stock buybacks are subject to an additional tax under this law. A 1% excise tax on buybacks is expected to generate $74 billion by 2031. To recoup tax revenue lost to private equity, the act imposed a limit on losses that businesses can deduct from their taxes. These measures were designed to prevent wealthy individuals from reducing or even wiping out their income tax liability. Energy Security and Climate Change Investment The largest investment made by the Inflation Reduction Act of 2022 was for energy security and climate change. It totaled $369 billion and consisted of the following: Business Incentives and Tax Credits Incentives for businesses to deploy lower-carbon and carbon-free energy sources Tax credits for energy production and investments in wind, solar, and geothermal energies Tax credits for investment in battery storage and biogas Tax credits for investments in nuclear energy, hydrogen energy coming from clean sources, biofuels, and technology that captures carbon from fossil fuel power plants Bonuses for companies based on worker pay and the manufacture of steel, iron, and other components in the U.S. New tax credit rules made electric vehicle (EV) tax credits hard to get: EVs must be made in North America Eliminated credits for pricey EVs, i.E., Hummer EV, Lucid Air, and Tesla Model S and Model X Lowered tax credit on new EVs with battery minerals sourced from countries other than the U.S. Business and Consumer Incentives Incentives for companies and consumers for making cleaner energy choices Tax credits for residential clean-energy costs, including rooftop solar, heat pumps, and small wind energy systems. The credit is 30% through 2032, after which it phases down. Electric vehicle tax credits of up to $7,500 on new EVs and $4,000 on used EVs Tax credit for energy efficiency in commercial buildings Grants and loans to help companies reduce emissions of gas methane from oil and gas Fees levied on producers with excess methane emissions $27 billion toward additional incentives for clean-energy technology Some provisions of the Inflation Reduction Act of 2022 actually increased fossil fuel production on public lands. Use of Public Lands New requirements to hold lease sales that opened up new oil and gas production Reinstatement of a recent offshore oil and gas lease sale that was struck down on environmental grounds Requirement that the Interior Department hold at least two more offshore oil and gas lease sales, one within 30 days of the enactment of the law and the other by Sep. 30, 2023. Minimum royalties increased for companies that extract oil and gas on public lands and waters Added royalties for public land and water extraction of gas that is later burned off or released as waste instead of sold as fuel Miscellaneous Provisions $3 billion for environmental justice block grants—community-led programs that address harms from climate change and pollutants, including $20 million for technical assistance at the community level, through fiscal 2026 $3+ billion for air pollution monitoring in low-income communities, with $117 million going to communities in close proximity to industrial pollutants Excise tax increase from $0.097 to $0.164 per barrel on imported petroleum and crude oil products to fund the cleanup of an increase in industrial disaster sites Permanent extension of the tax on coal production that funds the Black Lung Disability Trust Fund, which finances claims from workers with the condition Affordable Care Act (ACA) Extension The law extended financial assistance to help people enrolled in the ACA through 2025. Without this action, extra assistance would have stopped at the end of 2022. The provision also expanded eligibility to allow more middle-class people to receive premium help. The extension of ACA help is estimated by the CBO to cost $64 billion. Western Drought Resiliency A last-minute addition to the Inflation Reduction Act includes $4 billion in new funding for the drought scorching the Western U.S. The law calls for the Bureau of Reclamation to address the 22-year drought impacting that part of the country. Funds will be used to compensate farmers who voluntarily reduce their water deliveries under short-term or multiyear agreements and projects that conserve water in Lake Mead and Lake Powell. Funding will also be available to mitigate the environmental effects of shrinking inland water sources such as the Salton Sea and the Great Salt Lake. Additional Congressional Budget Office (CBO) Estimates The CBO estimates that because prescription drug savings would be larger than new spending, net spending would be reduced by nearly $15 billion through 2031. This includes savings of almost $40 billion in 2031. Net taxes would go down by about $2 billion per year once the Inflation Reduction Act of 2022 was fully phased in, according to the CBO's estimates. The CBO also took into account what it called the "spillover" effects of higher wages resulting from lower healthcare premiums under the ACA. Overall, the CBO estimated $790 billion in offsets to fund roughly $485 billion of new spending and tax breaks. Because the law attempts to reduce deficits, proponents believe it will also help reduce inflation and serve as a risk-reduction measure against a recession. Penn Wharton Budget Model One study often cited by critics of the Inflation Reduction Act of 2022 was conducted by the Wharton School at the University of Pennsylvania. The Penn Wharton Budget Model (PWBM) estimated that the Inflation Reduction Act would reduce cumulative deficits by $248 billion over the next decade with no impact on gross domestic product (GDP) in 2031. The anticipated impact on inflation, according to the PWBM, will be "statistically indistinguishable from zero." The PWBM conducted an alternative scenario in which the Affordable Care Act subsidies were made permanent. Under this scenario (which is not currently part of the law), the 10-year deficit reduction estimate falls to $89 billion. How Much Will the Inflation Reduction Act of 2022 Reduce the U.S. Deficit? Estimates range from the Penn Wharton Budget Model estimate of $248 billion to the Congressional Budget Office score of $305 billion. Most other estimates are $300 billion or more. What Are the Tax Consequences of the Inflation Reduction Act of 2022? According to the Tax Foundation, the law calls for no new taxes on families making $400,000 or less annually. The law extends expanded health insurance premium tax credits provided in the American Rescue Plan Act (ARPA) through the end of 2025. The law also imposes a 15% minimum tax on corporate book income for corporations with profits exceeding $1 billion, effective for tax years beginning after Dec. 31, 2022. How Will the Inflation Reduction Act of 2022 Impact Inflation? The answer depends on whom you ask. Senate Democrats say lower prescription and energy costs will tamp down inflation, at least over time. The Congressional Budget Office sees little to no impact on inflation. The Bottom Line The Inflation Reduction Act of 2022 is most controversial regarding the subject of the measure's title: inflation. There is no real consensus on how much—or even if—the law will ever reduce inflation. There is little debate that the law will reduce the deficit, albeit with some variation in the amount of the deficit reduction. The part of the law that deals with prescription drug costs is far less than Democrats hoped for, but all agree that it is at least a good start. While raising taxes on corporations and the rich is generally popular, some conservatives have expressed concern that these measures will discourage investments and hiring on the part of affected companies.

Hardware Requirements For Windows Server 2022 Edition

Microsoft publishes a server line for its operating system – known as Windows Server. It is meant to be run on servers specifically found in large-scale workspaces or organizations. If you are interested in knowing what are the hardware requirements to run Windows Server, this post is for you. Today, we will be discussing what are the Hardware Requirements for the latest Windows Server 2022 Edition.

We will list the minimum Windows Server 2022 hardware requirements for the following components:

Processor

RAM

Network adapters

Disk Space Requirements

Others

1] Processor

Two key factors are affecting a processor's efficiency; the cores & size of it and its clock frequency. To install Windows Server properly, your system has got to have at least a 1.4 GHz 64-bit processor that is compatible with an x64 instruction set. Additional security features like (DEP) and NX Bit should also be supported. If you want to check if your CPU complies with these requirements and where is it that it's falling short, you can make sure of Coreinfo.

2] RAM

The minimum requirement for the RAM on your PC is for it to be at least 512MB big (a commonality in all computers made these days). It is also required to be equipped with ECC (Error Correcting Code)

3] Network Adapters

The network adapters on your PC should consist of an ethernet adapter which should be capable of pumping at least 1 gigabit per second. Your network adapters should also comply with the PCI Express architecture specification.

4] Disk Space Requirements The hard disc on your PC should be able to hold at least 32GB of data to run Windows Server, while the installation of the GUI requires an additional 4 gigabytes. 5] Others There are some other requirements that you need to take care of as well. Your PC should be equipped with a DVD drive if you plan on installing Windows via disk media. Other requirements include: UEFI 2.3.1c-based system and firmware that supports secure boot Graphics device and monitor capable of Super VGA (1024 x 768) or higher-resolution Keyboard and Microsoft mouse (or other compatible pointing devices). Related: Windows Server 2022 vs 2019 vs 2016 Feature differences What are the minimum specs requirement for Windows Server installation? To install Windows Server properly, your system has got to have at least a 1.4 GHz 64-bit processor, 512MB RAM,32GB Hard Disk, and other requirements detailed in this post. Read: Windows Server 2022 Editions compared. Is TPM required for Windows Server 2022? A Trusted Platform Module (TPM) chip is required in order to use certain features such as BitLocker Drive Encryption. It must meet these requirements: Hardware-based TPMs must implement version 2.0 of the TPM specification. TPMs that implement version 2.0 must have an EK certificate TPMs that implement version 2.0 must ship with SHA-256 PCR banks & implement PCRs 0 through 23 for SHA-256. PCR bank that can be used for both SHA-1 and SHA-256 measurements. A UEFI option to turn off the TPM is not a requirement. We hope that this article was able to sufficiently clear all the doubts you had concerning the minimum hardware requirements of the Windows Server 2022 edition.

2022 Honda Insight

Overview

The 2022 Honda Insight is the spiritual successor to the Civic hybrid. With a similar size and shape as Honda's compact sedan but an efficient gas-electric powertrain under the hood, the Insight is like a Civic that's quieter at low speeds and and delivers better mpg. Many of the Civic's best aspects are present here, including a comfortable ride, a pleasant interior, and accurate steering. You'll make a slight sacrifice in acceleration, and the Insight can get noisy when you step on it, but it's a pleasant-looking sedan that doesn't cost more than non-hybrid rivals and will save you money at the pump.

What's New for 2022?

The biggest change for 2022 is that the base LX trim is no longer available. That means the lineup starts off with the better-equipped and more expensive EX, while the top Touring model is unchanged. Honda has announced that the Insight will be discontinued after the 2022 model year.

Pricing and Which One to Buy

EX

$26,855

Touring

$30,885

The EX starts at $26,205 and includes a good amount of standard equipment, so we would pass on the more expensive Touring model. The EX is also rated to deliver better fuel economy owing to its lower weight and smaller wheels.

Engine, Transmission, and Performance

The Insight does a better job than most hybrids of balancing spry acceleration with miserly fuel economy. It's about as quick as many conventionally powered compact cars—and way quicker than the hybrid competitors we've tested. Its combination of a gas engine and electric motors provides a combined 151 horsepower, which motivates the Insight from zero to 60 mph in 7.7 seconds. It can run on its electric motor alone for roughly one mile at lower speeds but request brisk acceleration and the gasoline engine will kick-in seamlessly. You might notice the engine getting loud under hard acceleration, but the Insight's powertrain is otherwise quiet and refined. The Insight is an exceedingly pleasant vehicle to drive. It is quiet, comfortable, and refined, and it handles confidently. That's no wonder, considering it's in many ways mechanically similar to the Civic sedan, which shares those attributes. Although it's not overtly sporty, the Insight has a nicely controlled ride and solid handling. Its supple suspension soaks up bumps well, and its quick steering helps it change direction responsively. The predictable and progressive brake pedal in the Insight suffers from little of the clunkiness that plagues the brakes of other hybrids. The Insight's brakes feel just as confident as a traditional, gas-powered vehicle's.

More on the Insight Sedan Fuel Economy and Real-World MPG

Honda provides two EPA ratings for the Insight: 55 mpg city and 49 highway for the lighter EX trim and 51 city and 45 highway for the Insight Touring, which is better-equipped and comes with larger wheels-and-tires. All three Insight models fall a few miles per gallon short of the Toyota Prius and the Hyundai Ioniq's EPA ratings. But the Insight Touring achieved 47 mpg on our real-world highway test, 2 mpg better than its EPA rating. Drivers who spend more time in stop-and-go driving can expect even better results; hybrids typically are more efficient in city driving conditions than on the highway. For more information about the Insight's fuel economy, visit the EPA's website.

Interior, Comfort, and Cargo

The interior's features and finishes occupy a well-judged middle ground between bargain basement and premium. The Insight feels a bit more upscale than the closely related Civic, and it measures up well to other hybrid competitors. A customizable digital gauge in the instrument panel can display a variety of information, from fuel-economy data to speed-limit info. You sit low in the Insight's front seats, but there's plenty of space to stretch out. Adjustable lumbar support is missing from the driver's seat, however, which is disappointing. The rear seats have plenty of room for two adults. The Insight's battery pack is located under the rear seat, so it doesn't infringe on cargo capacity at all; the rear seats still fold mostly flat to accommodate larger items. Several of the Honda's competitors are hatchbacks—the Insight is a conventional sedan with a separate trunk—which means they can hold more stuff and their large cargo areas are easier to load. The Insight does have a very useful and configurable center console that can hold tons of personal items. There are also a few bins in the cargo area.

The Car and Driver Difference Infotainment and Connectivity

Honda's infotainment system incorporates a mostly modern and usable interface—and we're glad that it has a volume knob now—but some of the menus can get overly complicated, and a tuning knob is still missing. The standard touchscreen measures 8.0 inches and has features including Apple CarPlay and Android Auto smartphone integration and available built-in navigation.

How to Buy and Maintain a Car Safety and Driver-Assistance Features

All Insights come with a comprehensive package of driver assists called Honda Sensing. Blind-spot monitoring and cross-traffic alert come standard on EX and Touring models. For more information about the Insight's crash-test results, visit the National Highway Traffic Safety Administration (NHTSA) and Insurance Institute for Highway Safety (IIHS) websites. Key safety features include:

Standard forward-collision warning and automated emergency braking

Standard lane-departure warning and lane-keeping assist

Standard adaptive cruise control

Warranty and Maintenance Coverage

The Insight has warranty coverage that is totally average. Honda also has shorter protection periods than Hyundai and Kia.

Limited warranty covers 3 years or 36,000 miles

Powertrain warranty covers 5 years or 60,000 miles

Hybrid components are covered for 8 years or 100,000 miles

No complimentary scheduled maintenance

Specifications

SPECIFICATIONS:

2019 HONDA INSIGHT TOURING

VEHICLE TYPEfront-engine, front-wheel-drive, 5-passenger, 4-door sedan

PRICE AS TESTED$28,985 (base price: $28,985)

POWERTRAINpermanent-magnet synchronous AC motor, 129 hp, 197 lb-ft; DOHC 16-valve Atkinson-cycle 1.5-liter inline-4, 107 hp, 99 lb-ft; combined output, 151 hp; 1.2-kWh lithium-ion battery pack

TRANSMISSION 1-speed direct drive

CHASSISSUSPENSION (F/R): struts/multilinkBRAKES (F/R): 11.1-in vented disc/10.2-in discTIRES: Continental ProContact TX, 215/50R-17 91H M+S

DIMENSIONSWHEELBASE: 106.3 in LENGTH: 183.6 in WIDTH: 71.6 in HEIGHT: 55.6 in PASSENGER VOLUME:94 cu ft TRUNK VOLUME: 15 cu ft CURB WEIGHT: 3072 lb

C/D TEST RESULTSZero to 60 mph: 7.7 secZero to 100 mph: 23.8 secZero to 110 mph: 33.6 secRolling start, 5–60 mph: 8.3 secTop gear, 30–50 mph: 4.4 secTop gear, 50–70 mph: 6.1 secStanding ¼-mile: 16.2 sec @86 mphTop speed (governor limited): 114 mphBraking, 70–0 mph: 183 ftRoadholding, 300-ft-dia skidpad*: 0.83 g*stability-control-inhibited

C/D FUEL ECONOMYObserved: 43 mpg75-mph highway driving: 47 mpgHighway range: 490 miles

EPA FUEL ECONOMYCombined/city/highway: 48/51/45 mpg

>>CLICK TO DOWNLOAD TEST SHEET

More Features and Specs

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