Americans get $8 billion tax credits for green homes

AMERICANS GET $8B TAX CREDITS FOR GREEN HOMES

(CNN)– Tax credit claims for green home upgrades exceeded government projections last year.

That’s according to data released on Wednesday, from the U.S. Treasury Department.

Taxpayers claimed more than $8 billion in credits for making climate-friendly upgrades to their homes under the Inflation Reduction Act.

The 2022 law included multiple tax credits and rebates for energy-efficient residential improvements like solar panels, heat pumps, and related green projects.

The average household that installed solar panels or made related improvements claimed just over five thousand dollars in tax credits.

Incentives were capped at 30% of the project’s cost.

A separate credit provides a smaller tax break for upgrades like energy-efficient windows or insulation.