Heat Pump HVAC Tax Deduction

Question

This page @ IRS

https://www.irs.gov/credits-deductions/home-energy-tax-credits

links to this page

https://www.energy.gov/policy/articles/making-our-homes-more-efficient-clean-energy-tax-credits-consumers

Which says that Heat Pumps are deductible, up to 30% of cost. But your software won't allow me to select anything about that. It lets me select for solar and geothermal, but this is a standard electric HVAC.

Also, in order to get to this page, I had to select Itemized Deductions. Am I ineligible for it with Standard Deduction?

uncert · Answer

I found it, thank you.

I went through the same process several times yesterday, and couldn't find it, but I found it today.

DaveT · Answer

https://community.freetaxusa.com/discussion/2358/heat-pump-hvac-tax-deduction

Did you navigate using Deductions/Credits → Home Energy Credit and then select "Yes" to "Did you make your home more energy efficient?"

knittingfun · Answer

To me it sounds like if it's on itemized deductions it will only count if you itemize. But I don't think 30% of your HVAC is more than the standard deduction? If you enter all the deductions you think you'd take, the software will compare itemizing vs just taking standard. Whatever it recommends you do, it will make sure you come out ahead.

These are the standard deductions I found on google, so 30% of your HVAC would have to be more than this for it to be a better option.

Single

$14,600.

Married filing jointly

$29,200.

Head of household

$21,900.