How do I submit a rebate?

Enter your zip code in the search bar above and find your unit. If a local rebate is available, select the “Get Form” button to download your paperwork. Complete the form and submit it to your local utility provider for approval.

What federal tax credits are available for residential energy use?

The August 2022 Inflation Reduction Act extended a previous version of the Non-Business Energy Property Tax Credit (IRS code 25C) through 2022, and further expanded the incentive opportunity for 1/01/2023 through 12/31/2032. Starting in 2023, this tax credit will be known as the Energy Efficient Home Tax Credit.

Who qualifies to claim a federal energy tax credit? Are there limitations?

Beginning on 01/01/2023 and extending through 12/31/2032, the expanded version of 25C, renamed as the Energy Efficient Home Improvement Tax Credit, allows homeowners to claim 30 percent of the costs of energy-efficient upgrades, up to an annual (not lifetime) limit of $1,200. Other individual credit limitations include: $150 annual limit for home energy audits $600 annual limit for certain qualifying air conditioners and furnaces $2,000 annual limit for certain qualifying heat pumps (the one exception to the $1,200 limit) These energy credits are nonrefundable, meaning they allow taxpayers to lower their tax liability to zero, but not below zero.

Where can I learn more about energy tax credits?

If you have additional questions about tax credits, speak with a tax professional. Energystar.gov also provides details about recent tax credit changes.

What are heat pump tax credits?

By installing a qualified air source heat pump, you can qualify for a heat pump tax credit of up to $2,000. This is the largest IRA incentive for any single project. You may qualify if you’re replacing an old heat pump and installing a new one that meets the Consortium for Energy Efficiency (CEE) tier requirements in your region. Today’s heat pumps are suitable for homes in any climate. If you’re in a northern state with frigid winters, consider a dual-fuel heat pump system. This is when you install a heat pump and gas furnace together, getting the best of both worlds as the furnace can kick on to help keep you comfortable no matter the outdoor temperature.

What is an energy star tax credit?

Part of the The Inflation Reduction Act, Energy Star tax credits promote energy efficient home improvement and are available for 30% of costs, up to $2,000. Stacking tax credits is possible, and this can be combined with the Residential Clean Energy credit. These residential energy credits are good through 2032, stepping down to 22% for 2033 and 2034.

What is the 25c tax credit?

Part of the The Inflation Reduction Act, Energy Star tax credits promote energy efficient home improvement and are available for 30% of costs, up to $2,000. Stacking tax credits is possible, and this can be combined with the Residential Clean Energy credit. These residential energy credits are good through 2032, stepping down to 22% for 2033 and 2034.

Offers, Rebates & Tax Credits

Find ways to save on your system with rebates, special offers, and tax credits, including new credits from the Inflation Reduction Act (IRA).

Find local offers

View tax credit incentives

Find local offers

View tax credit incentives

Rebates and tax credits near you

Unlock rebates and tax credits on select products.

What are rebates?

Rebates are location-based incentives that help you save money while making smarter energy choices with your HVAC system. Enter your zip code, discover how much you can save, and apply through your local power provider.

What are tax credits?

Purchasing certain HVAC systems or making other energy-related improvements to your home may qualify you for federal tax credits. Before you buy, research which Trane products let you save with federal tax credits.

An HVAC dealer showing documentation to a couple in their home.

Inflation Reduction Act Incentive Details

Great news for homeowners!

Recent legislation changes may mean that upgrading your HVAC system may not only save you energy costs, but also earn you tax credits and rebates.

As part of the Inflation Reduction Act (or IRA) signed in August of 2022, nearly $370 billion have been set aside to incentivize residential energy-efficient purchases. The Internal Revenue Code Section 25C credit was significantly enhanced as of January 1, 2023, offering greater savings to homeowners—in addition to the utility bill savings associated with energy-efficient HVAC systems.

If you installed/will install eligible HVAC equipment between January 1, 2023, and December 31, 2032, you may be eligible for tax credits up to 30% of installation costs (up to $1,200/year) under the expanded Energy-Efficient Home Improvement Tax Credit 25C program.

Up to $2,000 for qualified heat pumps
Up to $600 for qualified air conditioners
Up to $600 for qualified furnaces
Up to $600 for electrical upgrades to enable heat pump installation

Note: The maximum 25C tax credit amount is $3,200 when a qualifying heat pump is included in the purchase.

Your state or local municipality may offer additional rebate programs relating to energy-efficient upgrades. Use the EcoRebates search tool at the top of this page to discover additional rebates available in your area.

Please note: The rebate programs vary from state to state, and can differ depending on your income.

How to apply for a federal energy tax credit

Subject to IRS regulations, tax credits apply as a direct reduction of taxes owed. To apply, follow these steps.

Step one

Download your system’s manufacturer’s certificate for your records.

Step two

Consult a tax professional on other ways to take advantage of energy tax credits.

Step three

Submit Form 5695 with your tax returns to the IRS. Learn how to properly submit here.

Manufacturer’s certificates

Download and save the manufacturer certificate that matches your system type. These certificates will be helpful when filing your federal taxes 2024.

Heat pump unit manufacturer certificate

Your heat pump or dual fuel system must meet or exceed these efficiency ratings that vary based on system type and installed location:

Heat Pump Type	2024 Minimum requirements
Split system in the south	15.2 SEER2, 12.0 EER2, 7.8 HSPF2
Packaged system in the south	15.2 SEER2, 11.5 EER2, 7.2 HSPF2
Split or packaged system in the north	15.2 SEER2, 10.0 EER2, 8.1HSPF2, COP of 1.75 at 5F and heating capacity ratio >58% at 17°F/47°F or >70% at 5°F/47°F

Download certificate (2024)

Gas furnace manufacturer’s certificate

Gas furnaces use natural gas or propane to generate heat for your home. Your system must meet the following efficiency rating: 97% AFUE

Download certificate (2024)

Air conditioner manufacturer certificate

The air conditioner in your system must have both efficiency ratings per system type:

Air Conditioner Type	2024 Minimum requirements
Split system	16.0 SEER2, 12.0 EER2
Packaged system	15.2 SEER2, 11.5 EER2

Download certificate (2024)

FAQs

Contact a local dealer

Dealers can answer questions, help you find the right products for your home, and repair your system.

Control your home's comfort anytime, anywhere.

Breathe easier with air filter tips and tricks.

Offers, Rebates & Tax Credits

Rebates and tax credits near you

What are rebates?

What are tax credits?

Limited Time: Don't Miss Out
on the Trane Unstoppable Event