Side-by-side comparison of these two energy incentive programs. See which one offers better savings for your situation.
| Feature | Energy-Efficient Commercial Building Deduction (179D) | Electric Panel Upgrade Credit |
|---|---|---|
| Type | Tax Deduction | Tax Credit |
| Category | Commercial | Electrical |
| Amount | Up to $5.00/sq ft | 30% up to $600 |
| Max Amount | $5.00 per square foot | $600 |
| Level | Federal | Federal |
| Eligibility | Commercial buildings, new or retrofit. Must achieve 25%+ energy savings vs. ASHRAE 90.1 reference. Tax-exempt entities can allocate to designers. | Existing homes. Must be done to enable electrification improvements. |
| Applies To | Building owners, designers (tax-exempt allocation) | Homeowners |
| Location | Nationwide | Nationwide |
| How to Claim | Energy modeling and certification by qualified professional. Claimed on business tax return. | File IRS Form 5695. |
| Expiration | Made permanent by IRA | Available through 2032 |
Tax deduction for energy-efficient commercial buildings. $0.50-$5.00 per sq ft based on energy savings (25-50%+ reduction). Prevailing wage and apprenticeship requirements for max amount.
Official source →30% tax credit for electrical panel upgrades (200+ amp) needed to support electrification. Includes panel, sub-panel, branch circuits, and feeders.
Official source →