30%
Federal Tax Credit (25C/25D)
Up to $2,000/year for heat pumps
$2,250/ton
Xcel Cold Climate HP
Tripled for 2025
$8,000
Colorado HEAR (Income-Qualified)
Launched November 2025
Federal Tax Credits & Rebates
The Inflation Reduction Act (IRA) provides significant tax credits and rebates for home electrification and energy efficiency upgrades.
Energy Efficient Home Improvement Credit (25C)
30% tax credit for qualifying heat pumps, water heaters, and other improvements
Amount
Up to $2,000 per year
Eligibility
All homeowners
Residential Clean Energy Credit (25D)
30% tax credit for solar, battery storage, and other clean energy systems
Amount
No cap on credit amount
Eligibility
All homeowners
High-Efficiency Electric Home Rebate Program
Point-of-sale rebates for low and moderate-income households
Amount
Up to $14,000 total
Eligibility
Income-qualified households