1、EY Green Tax TrackerKeeping pace with sustainability incentives,carbon regimes and environmental taxesOctober 2023EY Green Tax TrackerPage 2Page 2EY Green Tax TrackerSustainability as a driver of tax policyAs governments make pledges to reduce emissions to address climate change,they develop policie

2、s to drive progress toward those pledges.These policies often involve tax.As much of global climate policy sits in global tax codes,its imperative for tax to be at the table in a companys sustainability discussions.Tax plays a significant part in encouraging and enabling companies to fulfill their c

3、limate commitments for achieving net zero and greening up their operations.Governments are also using sustainability tax measures to raise revenue and fund important policy objectives.Tax costs to discourage behaviors and technologies that add to greenhouse gas(GHG)emissionsTax incentives to encoura

4、ge green behavior and green technology EY Green Tax TrackerPage 3Page 3EY Green Tax TrackerGlobal sustainability goals150+jurisdictions representing almost90%of global GHG emissions,have communicateda net-zero target in either domestic law,policy,or high-level political pledge.*Net zero is the point

5、 at which an organization has achieved its science-based target(SBT)to limit global warming to 1.5C abovepre-industrial levels and removed its residual emissions from the atmosphere.*Source:,22 September 2023.The Paris Agreement is an international treaty on climate change.It was adopted by 196 part

6、ies in 2015 and entered into force in 2016.The goal of the agreement is to keep the global average temperature rise this century as close as possible to 1.5C above preindustrial levels.Emissions need to be reduced by 45%by 2030 and reach net zero by 2050.The Glasgow Climate Pact is a 2021 agreement