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) | IRA Home Efficiency Rebate (HOMES) |
|---|---|---|
| Type | Tax Deduction | Rebate |
| Category | Commercial | Whole Home |
| Amount | Up to $5.00/sq ft | Up to $8,000 |
| Max Amount | $5.00 per square foot | $8,000 |
| 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. | Income-based: full rebate for <80% AMI, 50% rebate for 80-150% AMI. Must achieve modeled energy savings. |
| Applies To | Building owners, designers (tax-exempt allocation) | Homeowners, renters (with landlord approval) |
| Location | Nationwide | Nationwide |
| How to Claim | Energy modeling and certification by qualified professional. Claimed on business tax return. | Applied at point of sale through participating contractors. State-administered. |
| Expiration | Made permanent by IRA | Funds available until spent (through ~2031) |
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 →Point-of-sale rebate for whole-home energy efficiency retrofits. $2,000-$4,000 for moderate income, $4,000-$8,000 for low income households achieving 35%+ energy savings.
Official source →