Side-by-side comparison of these two energy incentive programs. See which one offers better savings for your situation.
| Feature | ENERGY STAR Appliance Tax Credit | Heat Pump Tax Credit (Energy Efficient Home Improvement) |
|---|---|---|
| Type | Tax Credit | Tax Credit |
| Category | Appliances | HVAC / Heat Pumps |
| Amount | 30% up to $1,200 | 30% up to $2,000 |
| Max Amount | $1,200 (shared annual cap) | $2,000 |
| Level | Federal | Federal |
| Eligibility | Existing principal residence. Appliances must meet ENERGY STAR Most Efficient criteria. | Existing homes (principal residence). Must meet CEE or ENERGY STAR efficiency requirements. |
| Applies To | Homeowners | Homeowners |
| Location | Nationwide | Nationwide |
| How to Claim | File IRS Form 5695. | File IRS Form 5695 with your federal tax return. |
| Expiration | Available through 2032 | Available through 2032 |
30% tax credit for ENERGY STAR certified central air conditioners, natural gas/propane/oil furnaces and boilers meeting 97%+ AFUE, and electric stoves/cooktops.
Official source →30% tax credit for qualified heat pumps (air-source and geothermal), heat pump water heaters, and biomass stoves/boilers. Annual limit of $2,000 for heat pumps specifically.
Official source →