2023 IRS Form 5695 Part II Section A 17e says the following:
'If you checked the “Yes” box, you can only claim the energy efficient home improvement credit for
qualifying improvements that were not related to the construction of the home. Do not include expenses
related to the construction of your main home, even if the improvements were made after you moved
into the home.'
However, when I when through the TT Deluxe Easy Step –– Home Energy Credits, it allowed me to enter values for Part II Section B, e.g. costs for electric heat pumps.
It's unclear whether the energy efficient home improvement credit excludes new construction ONLY in "Part II Section A—Qualified Energy Efficiency Improvements", or ALSO in "Part II Section B—Residential Energy Property Expenditures". IRS Fact Sheet 2022-40 excludes new construction for "Energy Efficient Home Improvement Credit" , which seems to include Part II Section A and B (see: https://www.irs.gov/pub/taxpros/fs-2022–40.pdf):
Q2. Can a taxpayer claim the credits for expenditures incurred for an existing home? What about a newly constructed home? (added December 22, 2022)
A2. The rules vary by credit.
• Under the Energy Efficient Home Improvement Credit: a taxpayer can claim the credit only for qualifying expenditures incurred for an existing home, and not for a newly constructed home.
Can I get a tax credit for the cost of heat pumps installed in new construction?
