City Rebates, Grants, and Loans
The City offers a variety of rebates, grants, and on-bill financing for energy efficiency upgrades to your home and business. To learn more and get started, visit: Talgov.com/YOU.
Incentives from the Federal Government
The Inflation Reduction Act (IRA) of 2022 was signed into law on August 16, 2022. The IRA makes major investments in climate change, domestic energy production and manufacturing, and healthcare, while aiming to reduce the budget deficit. The bill is said to put the U.S. on a path toward a forty percent reduction in carbon emissions by 2030. The following incentives are some highlights from the IRA, and more information can be found in the below links. Disclaimer: Please consult your tax adviser to make an informed decision.
Federal Incentives for Residents
Home Improvement Rebates & Tax Credits
Includes incentives to buy energy efficient and electric appliances, clean vehicles, rooftop solar, and home energy efficiency upgrades.
- Rebates for income-qualified households
- Total family annual income must be less than 150% of the median income where you live to qualify.
- Qualifying homeowners can get rebates for as high as:
- $840 for stove, cooktop, range, oven, or heat pump clothes dryer
- $1,750 for a heat pump water heater
- $8,000 for a heat pump for space heating or cooling
- $1,500 for insulation, air sealing, and ventilation
- $2,500 for electric wiring
- $4,000 for an electric load service center upgrade
- Consumer tax credits
- 30% of the costs for all eligible home improvements
- Lifetime limit of $500 in efficiency credits has been expanded to $1200 annual limit on the credit amount. Annual limits for specific types of qualifying improvements:
- $150 for home energy audits
- $250 for an exterior door ($500 total for all exterior doors)
- $600 for exterior windows and skylights; central air conditioners; electric panels; natural gas, propane, or oil water heaters
- $2,000 for electric or natural gas heat pump water heaters or heat pumps
For more information, please visit: Kiplinger.com/taxes/605069/inflation-reduction-act-tax-credits-energy-efficient-home-improvements
Electric Vehicle Tax Credits
- Existing credit is maintained: up to $7,500 consumer credit for the purchase of a qualified new clean vehicle (electric vehicles, plug-in hybrids, hydrogen fuel cell vehicles)
- New consumer tax credit for purchase of used non-commercial clean vehicle
- Credit equal to lesser of $4,000 or 30% of vehicle cost
- Sets maximum sale price of $25,000
- Model must be at least two years older than the year of sale
- Income eligibility of $75,000 or $150,000 for joint filers
Federal Incentives for Businesses
Energy Efficiency Incentives & Tax Credits
$1 billion grant program for energy efficient upgrades in affordable housing
Tax credits for energy efficient commercial buildings
- Up to $5 per square ft to support energy efficiency improvements
- Up to 30% of costs of installing solar power and purchase of clean commercial fleet
For more information, please visit: Utility Dive-IRA_CleanEnergyManufacturing
Electric Vehicle Tax Credits
- Commercial clean vehicle credit
- $7,500 tax credit for class 1-3 (under 14,000 lbs.)
- $40,000 for class 4 and above (over 14,000 lbs.)
For more information on the Inflation Reduction Act regarding climate and energy impacts, please visit:
- Electrification Coalition (External Site)
- Database of State Incentives for Renewables & Efficiency (External Site)
- The White House (External Site)
- U.S. Department of Energy (External Site)
- WFSU (External Site)