Energy Tax Credits

[RosaMary26]

I recently replaced water heater with tankless. Does this qualify as energy tax credit? Also purchased new refrigerator and dishwasher that has energy star rating. Do these apply?

[KochuK · Accepted solution]

Hi RosaMary26, thanks for attending the event and post questions.

In 2022, the old law for Nonbusiness Energy Property Credit still applies (vs. starting 2023 Energy Efficient Home Improvement Credit by the Inflation reduction Act).

To qualify, the energy efficient improvement made to principal residence for up to $300 of the cost of water heaters. It must meet certain applicable energy-efficient requirements as prescribed by regulations and guidance issued by the IRS. Please refer to below TurboTax article - Electric heat pump water heaters, natural gas, propane or oil water heaters.

https://turbotax.intuit.com/tax-tips/home-ownership/energy-tax-credit-which-home-improvements-qualif... 

There is no Federal credit provision for refrigerators and dishwashers. However, you can check with your local utility companies for available rebates, if any.

Hope the above helps. Thank you.