JACKSONVILLE Blog

How-the-Inflation-Reduction-Act-Can-Help-You-in-2023

There are a lot of opportunities to save money while improving the efficiency of your home in 2023. In the summer of 2022, new legislation was passed called the Inflation Reduction Act, which includes provisions geared toward helping homeowners make valuable upgrades to their homes while getting either a rebate or tax credit for doing so!

Upgrading your home’s insulation can qualify you for this money-saving opportunity, so check out what this means for you and your home below.

How Can I Get a Tax Credit in 2023?

The Energy-Efficient Home Improvement Credit piece of the act allows you to claim up to 30% of your project's cost on your 2023 taxes next year. The cost limit is $1,200, which could help you purchase things like new insulation, air sealing or new energy-efficient appliances. You claim this credit on your 2023 taxes (the ones you file in 2024), so this is the perfect time to take advantage of this opportunity and plan your project now.

This credit allows you to take steps toward a more energy-efficient home at a more reasonable price. Energy efficiency is one of the best investments you can make in your home! Not only does it directly lower your monthly energy bills, but it makes your home more attractive to buyers when you go to sell your home eventually.

What Kind of Rebates Can I Qualify For?

The HOMES Rebate program allows you to get direct cash back opportunities on qualifying purchases. It encourages you to make eco-friendly choices on certain appliances and projects, similar to the tax credit.

You are able to receive a rebate for a certain amount based on how much money you are projected to save according to the energy-efficient upgrades you make.

There is a formula that is used to figure out the specific amount that each household qualifies for. Low-income households may qualify for a larger rebate while households with a higher income may have a lower cap. Again, this part of the Inflation Reduction Act also includes insulation and air sealing services, so let us help you get the money you deserve this year while also providing your home with a multitude of benefits.

What Projects Qualify?

Each state is different based on what types of projects qualify, so in order to find out what the Jacksonville area is offering, go to the Energy Star site and type in your zip code. Filter through the options on the left-hand side to compare the projects that you want to do versus the benefit the state is providing.

There are also other incentives to take advantage of for homeowners in Florida! The Database of State Incentives for Renewables & Efficiency is a great resource for finding other rebates for energy-efficient appliances or home improvement projects. Click on Florida and then follow the prompts and filters to explore the opportunities available to you.

We can help you make the most out of your investment! Contact us today at Koala Insulation of Jacksonville.