Tax Credits and Rebates for Homeowners

Thanks to the latest tax credits and incentives, now is the time to improve the energy efficiency of your home. The Residential Efficiency Tax Credit offers homeowners the opportunity to receive a tax credit of 30% for insulation and air sealing materials installed in their primary residence, up to $1,200 in costs. The credit is available on a yearly basis until December 31, 2025. After installation, use IRS Form 5695 to apply for the credit.

• You may claim the energy efficient home improvement credit for improvements to your main home (where you live most of the time).
• This credit does not apply to a newly built home.
• The credits have no lifetime dollar limits. Homeowners may claim the maximum annual credit every year that eligible improvements are made, through 2032.
• The credits are non-refundable, so you cannot get back more on the credit than you owe in taxes.
• You may not apply any excess credit to future tax years.

To learn if you are eligible for these benefits or others in our Central California area, please visit: https://www.energy.gov/save/rebates.