Tax credit for window, door, heating improvements.
What does this funding get me?
This funding is a tax credit and is up to $3,200 for energy efficiency improvements, residential energy property expenses, and home energy audits. The credit equals 30% of qualified expenses.
Am I eligible?
Individual homeowners are eligible. The home must be a place you already live in, not a new purchase.
Renters who make improvements to their principal place of residence (with the landlord’s approval) are also eligible to take most of these credits (see note below on certain exceptions).
To qualify, home improvements must meet energy efficiency standards. These can include either Energy Star requirements or the International Energy Conservation Code standards; see the bottom of this page for detailed information.
Examples of eligible improvements include:
- $1,200 for energy property costs and certain energy efficient home improvements
- A limit of $500 on doors ($250 per door, and two doors maximum)
- $600 for windows
- $150 for a home energy audit
- $2,000 per year for qualified heat pumps, biomass stoves or biomass boilers
Renters are eligible for the tax credit on all improvements except exterior doors, windows and skylights, insulation materials or systems, and air sealing materials or systems (see IRS fact sheet, p. 5).
How can I access the money?
You can find the form you need to fill out to apply for the tax credit here. You must claim the credit for the tax year when the property is installed, not merely purchased.
What is the timeline?
This credit is available now. This credit has no lifetime maximum dollar limit. You can claim the maximum annual credit every year that you make eligible improvements through 2032.
Where can I get more information?
- IRS web page for this credit
- Frequently Asked Questions Fact Sheet for this credit
- Energy efficiency (EE) standards for doors
- EE standards for windows
- Database of qualifying heaters and other equipment
- For specific questions on this program or for more assistance, contact Matt Salton at cleanenergy@conservationpa.org. Please note this contact is not a certified tax professional.