Comment by DangitBobby
1 day ago
That's probably exactly what will happen.
Energy property - Heat pumps and biomass stoves and boilers
Heat pumps that meet or exceed the CEE highest efficiency tier, not including any advanced tier, in effect at the beginning of the year when the property is installed, and biomass stoves and boilers with a thermal efficiency rating of at least 75% qualify for a credit up to $2,000 per year. Costs may include labor for installation.
Qualified property includes new:
Electric or natural gas heat pumps
Electric or natural gas heat pump water heaters
Biomass stoves and boilers
https://www.irs.gov/credits-deductions/energy-efficient-home...
These are credits that only work if you have owe federal taxes and they cannot be carried forward. I've seen estimates that 40-45% of taxpayers owe 0 or close to 0.
You can also get considerable rebates if your state participates in the "Inflation Reduction Act Home Energy Rebate Program", especially if you are low income. My state is still working on rolling it out but hopefully many people who can't use tax credits will be able to take advantage.
https://www.tn.gov/environment/program-areas/energy/state-en...
Eh? If you have income you owe taxes, Uncle Sam just takes it before you even see it
I think something like 25% of the population reports 0 household income.
(I don't understand the implications, it was just surprising when I heard that.)
Federal taxes specifically.