HVAC Rebates & Tax Credits

United States outline

Federal Tax Credits
(Residential Clean Energy & Home Improvement)

Energy Efficient Home Improvement Credit: Claim 30% of costs (up to $3,200/year), including:

  • Heat pumps, central ACs, furnaces, water heaters (up to $2,000/item)
  • Insulation, windows, doors, audits (up to $1,200 total)

Residential Clean Energy Credit: Another 30% tax credit for solar, geothermal heat pumps, battery storage, etc., with no cap (until 2032)

ENERGY STAR Air‑Source Heat Pumps: Installed between 2023–2032, qualify for up to $2,000 credit

Se If You Qualify

California state outline

California-Specific Rebates
(HEEHRA / TECH Clean CA)


State rebates: Eligible homeowners in LA can receive up to $8,000 toward heat pump HVAC systems.

  • Up to $8k for incomes ≤ 80% AMI
  • Up to $4k for incomes between 80–150% AMI

TECH Clean California offers an additional $1,000 per system ($2,000 max) rebate 

Local & Utility Rebates in Los Angeles

LA-area utilities may offer $100–$3,000 in additional HVAC Rebates & Tax Creditsr for homeowners installing efficient heat pumps 

These incentives stack with federal and state credits—total potential savings can reach $10,000+ on high-efficiency systems.

How to Maximize Your Savings

Bundle upgrades strategically:
Example: Combine insulation ($1,200 cap) with a heat pump ($2,000 cap) to claim up to $3,200 in a single tax year.

Stack rebates:
Combine federal, state, and local incentives for maximum financial impact.

Ensure equipment qualifies:
Must be ENERGY STAR certified and meet Qualified Manufacturer (QM) standards with PIN listings on IRS Form 5695

Claiming Credits & Rebates

Federal:
File form IRS 5695, include the QM PIN from your heat pump/AC.

State & Local:
Apply through TECH Clean California and your local utility’s rebate programs (paperwork typically handled by contractors).

Timing:
Work must be completed and paid by December 31, 2025, to qualify under current rules

Summary of Potential Savings (Example)

Upgrade Federal Tax Credit State Rebate Utility Rebate Total Savings
Heat Pump Installation $2,000 $8,000 $1,500 $11,500
Insulation Upgrade $1,200 - $500 $1,700
Total (~1 home project) $3,200 $8,000 $2,000 $13,200+
heat pump install

Next Steps

  1. Get an energy audit to identify eligible upgrades.
  2. Choose ENERGY STAR-certified HVAC or heat pump systems.
  3. Confirm rebate eligibility via your contractor, utility, and the TECH Clean portal.
  4. Keep receipts and documentation—submit with IRS Form 5695.

Bottom line: Los Angeles homeowners can tap into 30% federal tax credits, up to $8,000 in state rebates, and local utility incentives, leading to combined savings that often exceed the cost of installation. Contact our team to see if you qualify for HVAC Rebates & Tax Credits.

contact us today



Come Work With Us

If you’d like to join our team and start a career in HVAC, fill out this application and be sure to link your resume. We are looking for HVAC technicians and Customer Representatives.