Energy Credit

[xequez]

I had an energy efficient furnace and heat pump installed in 2024. My estimate and final billing do not include a price breakdown. Just a lump sum. How should I claim the credits?

[JohnW152]

First, you'll need to reach out to the dealer/installer to find out the exact breakdown for each of these items.  Make sure you get an itemized statement.  Assuming that both of these items are eligible for a federal credit, they have different allowable credit amounts, so you need to have the precise figures for the costs. 

Once you've done that, look at the Instructions for Form 5695 (2024), just to make sure that the systems you've installed qualify for the credit. 

Finally, see the TurboTax Help article How do I add or remove Form 5695? for entry guidance.

[xequez]

The installer says it was a package price and there is no itemized cost.

[Vanessa A]

You could ask him for a breakdown of what it would cost if he just installed the furnace or just installed the heat pump  Then allocate the rest of what was spent to the other item. For example, if you paid $15,000 for the entire installation and he says it would have cost $6,000 for just the furnace, then you would allocate the other $9,000 to the heat pump.