The 25C tax credit is effective for products purchased and installed between January 1, 2023, and December 31, 2032.
Eligible for 30% of costs, including labor, up to yearly maximum limit of $2,000 for heat pumps for an existing home. Not eligible for new construction.

The 25C tax credit is effective for products purchased and installed between January 1, 2023, and December 31, 2032.
Eligible for 30% of costs, including labor, up to yearly maximum limit of $1,200 for insulation upgrades for an existing home. Not eligible for new construction.

Requirements for 25C Energy Efficiency Home Improvement Residential Tax Credits under the Inflation Reduction Act (IRA)
Eligible for 30% of costs, including labor, up to yearly maximum limit of $2,000 for heat pump water heater installs on existing home, and not for a newly constructed home.

The 25C tax credit is effective for products purchased and installed between January 1, 2023, and December 31, 2032.
Eligible for 30% of costs, including labor, up to yearly maximum limit of $600 for panel upgrades only if upgraded with another project covered by 25C such as a:

• any qualified energy effiency improvements or
• any qualified energy property such as heat pump or heat pump water heater installs.

Applicable for existing homes, and not for new construction.

You may qualify for a credit up to $7,500 under Internal Revenue Code Section 30D if you buy a new, qualified plug-in EV or fuel cell electric vehicle (FCV). 

Beginning January 1, 2023, if you buy a qualified used electric vehicle (EV) or fuel cell vehicle (FCV) from a licensed dealer for $25,000 or less, you may be eligible for a used clean vehicle tax credit (also referred to as a previously owned clean vehicle credit). The credit equals 30% of the sale price up to a maximum credit of $4,000.

The Residential Clean Energy Credit (25D) equals 30% of the costs of new, qualified clean energy property for your home installed anytime from 2022 through 2032. 

Qualified expenses include the costs of new clean energy property:

• Battery storage technology (beginning in 2023) must have a capacity of at least 3 kilowatt hours.

The Residential Clean Energy Credit (25D) equals 30% of the costs of new, qualified clean energy property for your home installed anytime from 2022 through 2032. 

Qualified expenses include the costs of new clean energy property:

• Solar electric panels