Home Energy Savings Act of 2021

Home Energy Savings Act of 2021

This bill extends the nonbusiness energy property tax credit through 2031 and increases the credit percentage from 10% to 30% for qualified energy efficiency improvements. The bill also imposes a $1,200 annual limitation on the credit and limits for windows and doors.

The bill allows a credit for 30% of the cost of home energy audits. A home energy audit is an inspection and written report for a taxpayer's principal residence that identifies the most significant and cost-effective energy efficiency improvements and is conducted and prepared by a certified home energy auditor.

The bill also requires that energy property placed in service after 2023 be produced by a qualified manufacturer and that the taxpayer includes the qualified product identification number for such property on the return of tax.

Bill 117 HR 5187, also known as the Home Energy Savings Act of 2021, is a piece of legislation introduced in the US Congress with the goal of promoting energy efficiency in residential buildings. The bill aims to provide incentives for homeowners to make energy-saving improvements to their homes, such as installing insulation, upgrading heating and cooling systems, and using energy-efficient appliances.

One of the key provisions of the bill is the establishment of a tax credit for homeowners who make qualifying energy efficiency improvements to their homes. The tax credit would cover a percentage of the cost of the improvements, up to a certain limit. This is intended to encourage homeowners to invest in energy-saving upgrades that can help reduce their energy bills and lower their carbon footprint.

Additionally, the bill includes provisions for funding research and development of new energy-efficient technologies, as well as for providing grants to states and local governments to support energy efficiency programs. These measures are aimed at promoting innovation in the energy sector and helping to make energy-saving improvements more accessible to homeowners across the country. Overall, the Home Energy Savings Act of 2021 is a comprehensive piece of legislation that seeks to incentivize energy efficiency in residential buildings and promote sustainable practices in the housing sector. If passed, the bill has the potential to help homeowners save money on their energy bills, reduce their environmental impact, and contribute to a more sustainable future for all Americans.