Explain the main idea of this text to a fifth-grader.

Home Energy Tax Credits
EnglishEspañol中文 (简体)中文 (繁體)한국어РусскийTiếng ViệtKreyòl ayisyen
Individuals
Businesses and Self Employed
If you make energy improvements to your home, tax credits are available for a portion of qualifying expenses. The credit amounts and types of qualifying expenses were expanded by the Inflation Reduction Act of 2022.

We'll help you compare the credits and decide whether they apply to expenses you've already paid or will apply to improvements you're planning for the future.

Who Can Claim the Credits
You can claim either the Energy Efficient Home Improvement Credit or the Residential Energy Clean Property Credit for the year when you make qualifying improvements.

Homeowners who improve their primary residence will find the most opportunities to claim a credit for qualifying expenses. Renters may also be able to claim credits, as well as owners of second homes used as residences.

The credits are never available for improvements made to homes that you don't use as a residence.

Energy Efficient Home Improvement Credit
These expenses may qualify if they meet requirements detailed on energy.gov:

Exterior doors, windows, skylights and insulation materials
Central air conditioners, water heaters, furnaces, boilers and heat pumps
Biomass stoves and boilers
Home energy audits
The amount of the credit you can take is a percentage of the total improvement expenses in the year of installation:

2022: 30%, up to a lifetime maximum of $500
2023 through 2032: 30%, up to a maximum of $1,200 (biomass stoves and boilers have a separate annual credit limit of $2,000), no lifetime limit
Get details on the Energy Efficient Home Improvement Credit.

system
Explain the main idea of this text to a fifth-grader.

Home Energy Tax Credits
EnglishEspañol中文 (简体)中文 (繁體)한국어РусскийTiếng ViệtKreyòl ayisyen
Individuals
Businesses and Self Employed
If you make energy improvements to your home, tax credits are available for a portion of qualifying expenses. The credit amounts and types of qualifying expenses were expanded by the Inflation Reduction Act of 2022.

We'll help you compare the credits and decide whether they apply to expenses you've already paid or will apply to improvements you're planning for the future.

Who Can Claim the Credits
You can claim either the Energy Efficient Home Improvement Credit or the Residential Energy Clean Property Credit for the year when you make qualifying improvements.

Homeowners who improve their primary residence will find the most opportunities to claim a credit for qualifying expenses. Renters may also be able to claim credits, as well as owners of second homes used as residences.

The credits are never available for improvements made to homes that you don't use as a residence.

Energy Efficient Home Improvement Credit
These expenses may qualify if they meet requirements detailed on energy.gov:

Exterior doors, windows, skylights and insulation materials
Central air conditioners, water heaters, furnaces, boilers and heat pumps
Biomass stoves and boilers
Home energy audits
The amount of the credit you can take is a percentage of the total improvement expenses in the year of installation:

2022: 30%, up to a lifetime maximum of $500
2023 through 2032: 30%, up to a maximum of $1,200 (biomass stoves and boilers have a separate annual credit limit of $2,000), no lifetime limit
Get details on the Energy Efficient Home Improvement Credit.

user
If you help improve your home, the money you spend on that project could lead to reductions in the tax you have to pay each year. But you must meet a few requirements like living in the home you're improving. Not all improvements qualify, but if you improve things like windows and air conditioners that make your home use less electricity, then you could qualify.
assistant
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<|user|>
Explain the main idea of this text to a fifth-grader.

Home Energy Tax Credits
EnglishEspañol中文 (简体)中文 (繁體)한국어РусскийTiếng ViệtKreyòl ayisyen
Individuals
Businesses and Self Employed
If you make energy improvements to your home, tax credits are available for a portion of qualifying expenses. The credit amounts and types of qualifying expenses were expanded by the Inflation Reduction Act of 2022.

We'll help you compare the credits and decide whether they apply to expenses you've already paid or will apply to improvements you're planning for the future.

Who Can Claim the Credits
You can claim either the Energy Efficient Home Improvement Credit or the Residential Energy Clean Property Credit for the year when you make qualifying improvements.

Homeowners who improve their primary residence will find the most opportunities to claim a credit for qualifying expenses. Renters may also be able to claim credits, as well as owners of second homes used as residences.

The credits are never available for improvements made to homes that you don't use as a residence.

Energy Efficient Home Improvement Credit
These expenses may qualify if they meet requirements detailed on energy.gov:

Exterior doors, windows, skylights and insulation materials
Central air conditioners, water heaters, furnaces, boilers and heat pumps
Biomass stoves and boilers
Home energy audits
The amount of the credit you can take is a percentage of the total improvement expenses in the year of installation:

2022: 30%, up to a lifetime maximum of $500
2023 through 2032: 30%, up to a maximum of $1,200 (biomass stoves and boilers have a separate annual credit limit of $2,000), no lifetime limit
Get details on the Energy Efficient Home Improvement Credit.
</s>
<|assistant|>
If you help improve your home, the money you spend on that project could lead to reductions in the tax you have to pay each year. But you must meet a few requirements like living in the home you're improving. Not all improvements qualify, but if you improve things like windows and air conditioners that make your home use less electricity, then you could qualify.</s>
