If I’m filing a 5695 for home energy improvements am I supposed to receive a large lump sum or a partial payment every year!?

It depends.  Both the Home Improvement Energy Efficient Credit and The Residential Energy Credit are  non-refundable credits.  This means if you do not have enough tax liability this year, then you can only use enough to cover your tax liability  If your tax liability is greater than or equal to your credit you can use it all this year.  The Home Improvement Energy Efficient Credit is a use it or lose it credit, while the Residential Energy Credit can be carried forward to future years until you use it all up or until the credit expires in 2034. 

Look at line 16 on your 1040, then also look at line 24. If the amount on line 16 is less than the full credit, then the maximum amount of the credit you can use this year will be that number.  If you have other credits, that may also reduce the tax liability, this may also reduce the amount of the credit you receive.  

Then look at line 24.  If this line is $0, then you received one of more credits that brought your taxes down to $0.  If this is the case, and you had multiple nonrefundable credits, you may not get the full credit for one or more of the credits. If you look on line 16 of your form 5695, this will show any eligible carryforward, but as stated, they are ONLY for the residential energy credit, not the Energy Efficient Credit. 

Both Credits are worth 30% of your costs, with the Home Improvement Energy credits having a cap while the Residential Energy Credit does not.

 

The Home Improvement Energy Efficient Credit is:

• Worth up to 30% of costs with a maximum credit $2,000 for
  • Air source heat pumps
  • Heat Pump Water Heaters
  • Biomass Stoves or Boilers
• Worth up to 30% of qualifying costs for a maximum combined total of $1,200 for the following:
  • Doors, Windows and Skylights
  • Insulation
  • Natural Gas, Oil Propane Water Heaters
  • Furnaces
  • Boilers
  • Central Air Conditioners ($600 maximum Credit)
  • Electrical Panel Upgrades
  • Home Energy Audit (up to $150)
• You can combine the $2,000 credit with the $1,200 credit for a total of $3,200
• This credit is a use it or lose it credit.  If you do have enough tax liability in the year you buy and install the item, you will not be able to carry the credit forward.
• NOT available for new construction.

The Residential Energy Credit  is worth up to 30% of the cost of the equipment, with no maximum limit.  The items that fall into this category are as follows:

• Geothermal Heat Pumps
• Small Wind Turbines
• Solar Energy Systems
• Fuel Cells
• Battery Storage Technology

This credit can be taken for new construction

To enter these credits into TurboTax take the following steps:

• Federal
• Deductions and Credits
• I'll Choose what I work on
• Home Energy Credits which is under the "Your Home" category

https://www.energystar.gov/about/federal_tax_credits