New Requirements for Energy Efficiency Credits Take Effect in 2025

Starting January 1, 2025, only certified energy-efficient products will qualify for tax credits. The IRS now requires manufacturers to label products with a unique identification number (PIN), which must be included on your tax return. If a contractor or retailer cannot provide a PIN for an item, it likely does not qualify. This change affects credits for energy-efficient home improvements such as water heaters, heat pumps, and insulated windows.