Energy Efficient Home Improvement Credit (Federal 25C)

About This Program

Annual federal tax credit of up to 30% of cost for qualifying energy improvements. Caps: $600 windows/skylights; $500 exterior doors ($250/door); $600 HVAC equipment; $150 home energy audit; $2,000 heat pump/heat pump water heater/biomass boiler. Total annual cap $3,200. Renews each tax year — not a lifetime limit. Verify current IRA implementation status.

Annual credit — renews each year; not a lifetime limit

Key Details

• 30% credit on qualifying improvements, up to $3,200/year total
• Windows: up to $600 | Doors: up to $500 | HVAC: up to $600
• Heat pump or heat pump water heater: up to $2,000
• Home energy audit: up to $150
• Annual credit — renews each tax year (not a lifetime cap)

How to Apply

Deadline: Claim on annual federal tax return (IRS Form 5695)