RESIDENTIAL / RETROFIT

Energy Efficient Home Improvement Tax Credit (25C)

Who is this tax credit for?

Homeowners can take advantage of this credit

Who is this tax credit for?

Homeowners can take advantage of this credit

Inflation Reduction Act

  • 30% of insulation and air sealing materials up to $1,200. 30% of eligible expenses up to $1,200 credit applied to reduce or eliminate a taxpayer’s tax liability
  • Home energy audits covered up to $150
  • Only applies to improvements to homeowner’s principal residence
  • Labor is not an eligible expense
  • Must meet the 2021 IECC prescriptive insulation requirements
  • Covers both insulation and air sealing systems
  • Taxpayer may take the credit on a yearly basis
  • $1,200 yearly maximum for all building envelope components and home energy audits
  • $1200 insulation tax credit may be taken together with a $2,000 qualifying heat pump credit

How long does this credit last?

Credit amount applies from January 1, 2023 to December 31, 2032

How long does this credit last?

Credit amount applies from January 1, 2023 to December 31, 2032

INSULATION INCENTIVES

NAIMA is the association for North American manufacturers of fiber glass, rock wool, and slag wool insulation products. Its role is to promote energy efficiency and environmental preservation through the use of fiber glass, rock wool, and slag wool insulation, and to encourage the safe production and use of these materials. Through the Insulation Institute™, we leverage the collective insulation expertise of our organization and our members to empower homeowners and professionals to make informed insulation choices. Our mission is to enable a more comfortable, energy-efficient and sustainable future through insulation — and we are constantly working with building professionals, homeowners, government agencies, and public interest, energy and environmental groups to realize that vision.

Discover more insulation knowledge at InsulationInstitute.org

This website is offered for informational purposes only and neither guarantees nor predicts your qualifications to receive federal grants.