Possibly. A heat pump water heater may qualify for an energy credit of up to $300 if it meets the energy-efficiency
requirements. You should visit the company's website to see if a Manufacturer's Certification Statement is available for your water heater.
Try visiting this website: GE
heat-pump water heaters
To enter your energy-efficient heat-pump water heater in TurboTax:
- Open (continue) your return in TurboTax Online. (If your return isn't open, you'll need to sign in and click Take me to my return.)
- Click My Account (top right of your screen).
- Select Tools.
- In the pop-up window, select Topic Search.
- In the search bar, type 5695.
- In the results box, highlight 5695, residential energy credit, then click GO.
- Follow the onscreen instructions to complete this section. You'll enter the cost of the heat pump water heater in the Energy Efficient Building Property field. (Click the screenshot below for reference.) Be sure to click the Learn more links if you have any questions.
- After you enter the cost of your water heater and answer the corresponding questions, TurboTax will determine if you qualify for an energy credit.
Note: If using the TurboTax CD/Download software, you'll use the Find function (instead of "My Account") to search for the topic.
The Nonbusiness Energy Property Credit has a lifetime total combined limit of $500, so if you have claimed the credit in a prior year your 2016 deduction may be reduced. See IRS Instructions for Form 5695, Residential Energy Credits for more information.
