If you made qualifying energy-efficient upgrades to your home during tax year 2026, you may be eligible for the Energy Efficient Home Improvement Credit. This federal tax credit can help offset the cost of certain improvements by reducing the amount of tax you owe.
The credit is available for qualifying improvements made to an existing home that serves as your primary residence in the United States.
How Much Is the Credit Worth?
The Energy Efficient Home Improvement Credit is generally equal to 30% of qualified expenses, subject to annual limits.
You may be eligible for:
- Up to $1,200 per year for qualifying energy-efficient home improvements.
- Up to $2,000 per year for certain high-efficiency heating and cooling equipment, such as qualifying heat pumps and biomass stoves or boilers.
Depending on the improvements you made, your total annual credit can be as much as $3,200.
Who Qualifies?
You may qualify if:
- The improvements were made to your existing primary residence.
- The property is located in the United States.
- The products and equipment meet applicable energy-efficiency requirements.
Be sure to keep any receipts, invoices, and manufacturer certification information related to your purchase. You may need these records to support your claim.
Is There a Lifetime Limit?
No. Unlike some older energy credits, the Energy Efficient Home Improvement Credit does not have a lifetime limit. Eligible homeowners can claim the credit each year they qualify, through 2032, subject to annual credit limits.
Will the Credit Increase My Refund?
This is a nonrefundable credit, which means it can reduce the amount of federal income tax you owe. However, it won't create a refund on its own if your tax liability is already zero.
Common Qualifying Improvements
Examples of improvements that may qualify include:
- Energy-efficient exterior doors
- Energy-efficient windows and skylights
- Certain insulation and air-sealing materials
- Qualified heat pumps
- Qualified central air conditioning systems
- Biomass stoves and boilers
- Home energy audits that meet IRS requirements