We have everything you need to ensure your indoor comfort regardless of the season.
At ICS, we understand that saving money on heat pump installation costs is a top priority for many homeowners. That’s why we are proud to offer our customers access to two excellent cost-saving programs: the Inflation Reduction Act (IRA) and High-Efficiency Electric Home Rebate Act (HEEHRA).
We will guide you throughout the process on how you can benefit from saving money and energy costs with IRA and HEEHRA programs. Call us today to learn more.
The recently passed Federal Inflation Reduction Act (IRA) contains a 10-year extension and expansion of the 25C tax credit for energy-efficient home improvements. All installations of qualified heat pumps on or after January 1, 2023, will be eligible for a homeowner tax credit of up to 30%, or $2,000.
Many U. S. homeowners can get up to $14,000 to make energy-efficient improvements to their homes. It might sound too good to be true, but it’s part of a historic legislation passed in August 2022 called the Inflation Reduction Act of 2022.
According to the White House, $14,000 is available in direct consumer rebates and tax incentives for families to buy heat pumps or other energy-efficient home appliances, saving them at least $350+ annually. IRA is projected to reduce total carbon emissions by around 40% by 2030.
The program also includes up-front discounts, generous rebates, tax incentives, and low-cost financing available to homeowners who make energy-efficient upgrades to their homes.
HEEHRA is a rebate program designed to help low- and middle-income homeowners save up to $14,000 on energy-efficient upgrades. It covers up to 100% of electrification projects for low-income households and up to 50% for middle-income earners. It covers the appliance, professional installation, and labor costs.
Here’s a diagram of how a certain homeowner can qualify for HEEHRA:
HEEHRA rebates are available point-of-sale, which means consumer rebates are applied at the time of purchase. It is designed to allow homeowners to save money upfront. It also helps these same families save even more money on future utility bills.
HEEHRA is not available yet and will be distributed on a state-by-state basis.
Rebates are up-front savings, which means they are given to the customer at the time of sale. It’s up to the home service company to file the paperwork.
On the other hand, tax credits are the money given back to customers when they file their taxes. The tax credits are an annual incentive homeowners can use, amounting to $1,200 per year.
Think of it this way, you can use the tax credit this year for a new heat pump heating and air system, and next year you can upgrade your home with a new heat pump water heater. That’s two different tax credits for the same energy efficiency improvements.
The best way to qualify for these programs is to consult our professional HVAC technicians at lCS and inquire about the availability of these programs in your area. We will assess your home’s specific needs and help you decide which program best fits your budget and home. We strongly recommend that customers apply for these programs right away, before construction begins. That way, we can ensure that you receive the maximum savings possible.
We understand how important it is to save money on heat pump installation costs, and we want to help you get the most out of these cost-saving programs.
We are here to answer any questions you may have about the IRA and HEEHRA programs. Don’t hesitate to call us today at 866-749-633 and start saving money with our expert help.