topic Am I reading the energy credit correctly? The $10k new Energy Star AC and heat pump I paid for aren't deductible with the energy credit. in Deductions & credits

Am I reading the energy credit correctly? The $10k new Energy Star AC and heat pump I paid for aren't deductible with the energy credit.

d97875bd8f24 — Wed, 11 Feb 2026 03:56:15 GMT

Re: Am I reading the energy credit correctly? The $10k new Energy Star AC and heat pump I paid fo...

AmyC — Sat, 10 Feb 2024 00:37:51 GMT

No, HVAC is in the program. Energystar is a government agency with details for every year and credit. I know a qualifying air conditioner is worth up to $600.

Re: Am I reading the energy credit correctly? The $10k new Energy Star AC and heat pump I paid for aren't deductible with the energy credit.

DoninGA — Sat, 10 Feb 2024 00:43:41 GMT

The credit limit for each property is as follows.
• $1,200 for insulation or air sealing material system.
• $250 for one exterior door and $500 for all exterior doors.
• $600 for windows.
• $600 for central air conditioners.
• $600 for natural gas, propane, or oil water heaters.
• $600 for natural gas, propane, or oil furnace or hot water boilers.
• $600 for improvements or replacements of panelboards, subpanelboards, branch circuits, or feeders.
• $150 for home energy audits.
• $2,000 for heat pumps and heat pump water heaters; biomass
stoves and biomass boilers.

If the credit reduces your tax liability to zero any remaining credit is not used. If your tax liability on the Form 1040 Line 18 is zero then none of these credits can be used.