Federal Tax Incentives
Federal tax incentives are available for builders of ENERGY STAR® new homes. These incentives can be obtained in addition to UGI Save Smart builder incentives. Builders of ENERGY STAR certified new homes may qualify for federal tax incentives.
| Tier Levels | Eligibility Requirements | Minimum Credit to Builder | Maximum Credit to Builder |
|---|---|---|---|
| Single-Family | ENERGY STAR Certified Single-Family (SF) New Homes National v3.2 | $2,500 SF | $2,500 SF |
| Multifamily | ENERGY STAR Certified Multifamily (MF) New Construction National v1.1 | $500 MF | $2,500 MF* |
*Multifamily Homes – $500 available for homes certified to eligible ENERGY STAR Multifamily New Construction (MFNC) program requirements, with a larger tax credit ($2,500) available when prevailing wage requirements are met.
As part of the Inflation Reduction Act (IRA), the Section § 45L New Energy Efficient Home Credit (§ 45L credit) has been updated and extended through 2032. For eligible homes and apartments (referred to as dwelling units in § 45L) acquired on or after January 1, 2023, the tax credit is now specifically tied to certification to an eligible version of the relevant ENERGY STAR program requirements.
Starting in 2025, the minimum ENERGY STAR program versions eligible for the § 45L Credit increased to v3.2 for single-family new homes and remain v1.1 for multifamily new home construction.
Click “Learn More” below, to visit the ENERGY STAR landing page for details on how to qualify.
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