Equipment Tax Credits for Primary Residences

The Non-Business Energy Property Tax Credits outlined below apply retroactively through 12/31/2022. Updates will be applied for 2023 and remain effective through 12/31/2032.

Tax Credit: 10% of cost up to $500 or a specific amount from $50-$300.
Expires: December 31, 2022
Details: Must be placed in service in an existing home which is your principal residence by December 31, 2022. New construction and rentals do not apply.

Residential Energy Property Costs:

Air Source Heat Pumps

heat ump Heat pumps that are ENERGY STAR certified meet the requirements for this tax credit.

Tax Credit Amount: $300

Requirements
Split Systems:
HSPF >= 8.5
EER >= 12.5
SEER >= 15

Package systems:
HSPF >= 8
EER >= 12
SEER >= 14

See Definitions.

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How to apply

Central Air Conditioning (CAC)

cac Air conditioners recognized as ENERGY STAR Most Efficient meet the requirements for this tax credit. To verify tax credit eligibility, ask your HVAC contractor to provide the Manufacturer's Certification Statement for the equipment you plan to purchase.

Tax Credit Amount: $300

Requirements
Split Systems:
SEER>= 16
EER >= 13

Package systems:
SEER >= 14
EER >= 12

See definitions.

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How to apply

Gas, Propane, or Oil Hot Water Boiler

alt Gas powered boilers that are recognized as ENERGY STAR Most Efficient meet the requirements of this tax credit.

Tax Credit Amount: $150

Requirements
AFUE >= 95

Tax Credit includes installation costs.

See definitions.

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How to apply

Gas, Propane or Oil Furnaces and Fans

alt Gas furnaces that are ENERGY STAR certified (except those for U.S. South only) meet the requirements for the furnace tax credit. Gas and oil furnaces that have earned the ENERGY STAR include fans that meet the requirements of the fan tax credit.

Tax Credit Amount: $150

Requirements
AFUE >= 95

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How to apply

Water Heaters (non-solar)

Gas, Oil, Propane Water Heater

Certain ENERGY STAR certified gas water heaters meet the requirements for this tax credit. Water heaters account for 12% of the energy consumed in your home.

Tax Credit Amount: $300

Requirements
Uniform Energy Factor (UEF) >= 0.82 OR a thermal efficiency of at least 90%.

See definitions.

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How to apply

Electric Heat Pump Water Heater

Most ENERGY STAR certified water heaters meet the requirements of this tax credit. Water heaters account for 12% of the energy consumed in your home.

Tax Credit Amount: $300

Requirements
Uniform Energy Factor (UEF) >= 2.2

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How to apply

Advanced Main Air Circulating Fan

An Advanced Main Air Circulating Fan is an efficient fan, or blower motor which blows the air that your furnace heats up through the duct system.

Tax Credit Amount: $50

Requirements
Must use no more than 2% of the furnace's total energy.

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How to apply

Qualified Energy Efficiency Improvements:

Please note: Tax credit DOES NOT INCLUDE INSTALLATION FOR THE FOLLOWING PRODUCTS.

Insulation

alt Adding adequate insulation is one of the most cost-effective home improvements that you can do.

Tax Credit Amount: 10% of the cost, up to $500 (NOT INCLUDING INSTALLATION)

Requirements
Typical bulk insulation products can qualify, such as batts, rolls, blow-in fibers, rigid boards, expanding spray, and pour-in-place.

Products that air seal (reduce air leaks) can also qualify, as long as they come with a Manufacturers Certification Statement, including:

Weather stripping
Spray foam in a can, designed to air seal
Caulk designed to air seal
House wrap

NOTE: Tax Credit does NOT include installation costs.

See definitions.

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Roofs (Metal & Asphalt)

**Note: ENERGY STAR certification for roof products was withdrawn effective 6/1/22.

This tax credit is for ENERGY STAR certified metal and asphalt roofs with pigmented coatings or cooling granules designed to reduce heat gain. Certified roof products reflect more of the sun's rays, which can lower roof surface temperature by up to 100F, decreasing the amount of heat transferred into your home.

Tax Credit Amount: 10% of the cost, up to $500 (NOT INCLUDING INSTALLATION)

Requirements
"Metal roofs with appropriate pigmented coatings" and "asphalt roofs with appropriate cooling granules" that also meet ENERGY STAR requirements.

NOTE: Tax Credit does NOT include installation costs.

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How to apply

Windows, Doors & Skylights

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Windows, doors and skylights that earn the ENERGY STAR save energy, improve comfort and help protect the environment.

Tax Credit Amount: 10% of the cost, up to $500, but windows are capped at $200. (NOT INCLUDING INSTALLATION)

Requirements
Must be ENERGY STAR certified.

You do not have to replace all the windows/doors/skylights in your home to qualify. And it doesn't need to be a replacement either - installing a new window where there wasn't one previously (like in an addition) qualifies.

Tax credit does not include installation costs.

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