These improvements include hot water heaters, HVAC systems, windows, exteriors doors, insulation, etc.
- As of January 1, 2023, you can receive up to $1,200 per year (up from the previous $500 annual credit limit) on your federal tax return from these improvements.
- In addition, you can receive up to $2,000 for certain electric or natural gas heat pump water heaters, electric or natural gas heat pumps & biomass stoves & boilers (you can exceed the $1,200 limit on this one).
- So, max credit might be 2,000 plus 1,200, if you spend enough money.
Note, beginning in 2025, for each item of qualifying property placed in service, no credit will be allowed unless the item was produced by a qualified manufacturer and the taxpayer reports the PIN for the item on their tax return.