Arkansas HVACR NewsMagazine January 2023

News Magazine January 2023

FEATURE STORY

o Includes point of sale rebates, administered by states. o Includes means testing and will provide 50% of the cost for incomes 80 to 150% of area median income, and 100% of the cost for incomes 80% of area medium income and below and similar tiers for multifamily buildings. o Includes a $14,000 cap per household, with a $8,000 cap for heat pump costs, $1,750 for a heat pump water heater, and $4,000 for panel/service upgrade. (Note that the $8,000 heat pump cap is for households at or below 80% of medium) o Other eligible rebates include electric stoves and clothes dryers, and insulation/air sealing measures.

It is important to remember that we are not a tax accountant or attorney so we are very careful not to imply that you should plan your family or business future around this article. HOWEVER, we are quoting from reliable government sources and providing the email link. Let’s do another however. One IRS document s tates, “If an FAQ turns out to be an inaccurate statement of the law as applied to a particular taxpayer’s case, the law will control the taxpayer’s tax liability.” The IRS goes on to say that if you take a tax deduction in good faith based on the FAQs, you will not be subject to a penalty and will only be required to pay the back tax. FAQs are frequently asked questions that are answered in the following link. https://www.irs.gov/pub/taxpros/fs 2022-40.pdf Here are some interesting FAQs from the website, whitehouse.gov/cleanenergy The link is-- https://www.whitehouse.gov/cleanenerg y/?utm_source=cleanenergy.gov

The HOME rebates will range from $2,000-$4,000 for individual households and up to $400,000 for multifamily homes. Maximum rebates double for retrofits of low- and moderate-income households. The high-efficiency electric home rebate program, according to the release, includes a $14,000 cap for households. The DOE expects the funding to be available by Spring 2023 with rebates available to the public later in the year.

I want to make my home and appliances more energy efficient

Households can access a tax credit to cover up to 30% of the costs for certain efficiency improvements.

• Families can claim up to $1,200 in credit each year for adding insulation or installing efficient windows and doors, with a special credit of as much as $2,000 for electric heat pumps that

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