Give yourself some (tax) credit!
September 5, 2023
One of our most frequently asked questions: When will the money from the Inflation Reduction Act be available?!
The answer we love delivering: The vast majority of it is already here!!
That’s right. You’ve won a decade’s worth of tax credits under the Inflation Reduction Act! Want a shiny new heat pump, complete with an upgraded electrical panel? Or solar panels on your roof? A new (or used!) EV? All of these and more are incentivized through the IRA.
The following tax credits are live and available now to American homeowners and renters over the next 10 years. These credits reset every year, so they are truly the tax gifts that keep on giving.
DON’T wait with rebated breath What about those rebates? You may have heard that rebates are coming (they are!) but the tax credits above are here now, and you, my friend, should use them if you can! We will momentarily stop banging our tax credits drum now to give a rewirey rebates recap.
Now that the Department of Energy's official guidelines are out (because, as we know, rules control the fun), states are busily designing how the rebate programs will be structured and distributed for their residents. Based on the current info, our best estimate on timing is that most state programs will start to come online next year. 🥁 Have we mentioned that tax credits are already here? 🥁
When we talk about rebates, we're really talking about two separate programs. First there's the home electrification and appliance rebates provide point-of-sale consumer discounts to enable low- or moderate-income households across America to electrify their homes. The rebates will act as immediate, off-the-top discounts when making qualifying electrification purchases. Income capped!
The second is the home efficiency rebates program. This one rewards modeled energy savings of at least 20% or measured energy savings of at least 15%. Basically, if you save energy (a specific amount and have the receipts to back it up!), you get a rebate. Not income capped, but at least half of the total funding for the program will go to low-income households!
All of the above to say, we are tracking the rebate rollouts more closely than a pageant mom at awards time. In the meantime, get cozy with the tax credits that are here NOW and start making your electrification plan.
But don't just take it from us, listen to Adam, an inspiring electrifier and Rewiring reader in Tennessee. We really couldn't have said it any better. 👇
From the pre-wire
⚡ Two of these faces look very familiar…Rewiring’s CEO, Ari Matusiak, and Deputy Head of Policy, Camila Thorndike, spoke with Canary Media in A behind-the-scenes look at how the Inflation Reduction Act came together.
⚡ The summer is ending, but extreme heat is still very much present. Check out Grist’s guide on how to stay safe and keep cool!
⚡ Who wouldn’t want to zip around in an electric golf cart? Peachtree, Georgia is the kingdom of golf carts.