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January 14, 2023
Solved

Where is the entry for energy saving air conditioning/ heat pump?

  • January 14, 2023
  • 1 reply
  • 0 views
Energy savings lists do not seem to include all the items listed in the definition.
The definition includes electric heat pumps.
Does this mean energy efficient HVAC heat pumps?
If yes, then where should it be entered to get credit?
Best answer by DoninGA

Yes, the HVAC heat pump would qualify.

 

To enter Home Energy Credits -

  • Click on Federal Taxes (Personal using Home and Business)
  • Click on Deductions and Credit
  • Click on I'll choose what I work on (if shown)
  • Under Your Home
  • On Home Energy Credits, click the start or update button

Or enter energy improvements in the Search box located in the upper right of the program screen. Click on Jump to energy improvements

 

On the screen Tell Us How Much You Paid for Energy-Saving Improvements -


Qualified energy property is any of the following.
• Certain electric heat pump water heaters; electric heat pumps; central air conditioners; and natural gas, propane, or oil water heaters.


Enter the cost in the box labeled Energy-Efficient Building Property.

1 reply

DoninGA
DoninGAAnswer
Employee
January 14, 2023

Yes, the HVAC heat pump would qualify.

 

To enter Home Energy Credits -

  • Click on Federal Taxes (Personal using Home and Business)
  • Click on Deductions and Credit
  • Click on I'll choose what I work on (if shown)
  • Under Your Home
  • On Home Energy Credits, click the start or update button

Or enter energy improvements in the Search box located in the upper right of the program screen. Click on Jump to energy improvements

 

On the screen Tell Us How Much You Paid for Energy-Saving Improvements -


Qualified energy property is any of the following.
• Certain electric heat pump water heaters; electric heat pumps; central air conditioners; and natural gas, propane, or oil water heaters.


Enter the cost in the box labeled Energy-Efficient Building Property.

February 19, 2023

When I entered the cost of the two heat pumps, turbo tax says the credit is only $300.  Is this correct?  I thought the credit was supposed to be 30% of the cost.

February 20, 2023

If it's an electric heat pump, it's only eligible for a maximum $300 credit.  See Line 22a in the Instructions for Form 5695 for more detail.

You're allowed to take a credit of 30% of costs of geothermal heat pump property.

@Compuski1