26 USC 45L - New energy efficient home credit

U.S Code last checked for updates: Nov 22, 2024

§ 45L.

New energy efficient home credit

(a)

Allowance of credit

(1)

In general

For purposes of section 38, in the case of an eligible contractor, the new energy efficient home credit for the taxable year is the applicable amount for each qualified new energy efficient home which is—

(A)

constructed by the eligible contractor, and

(B)

acquired by a person from such eligible contractor for use as a residence during the taxable year.

(2)

Applicable amount

For purposes of paragraph (1), the applicable amount is an amount equal to—

(A)

in the case of a dwelling unit which is eligible to participate in the Energy Star Residential New Construction Program or the Energy Star Manufactured New Homes program—

(i)

which meets the requirements of subsection (c)(1)(A) (and which does not meet the requirements of subsection (c)(1)(B)), $2,500, and

(ii)

which meets the requirements of subsection (c)(1)(B), $5,000, and

(B)

in the case of a dwelling unit which is part of a building eligible to participate in the Energy Star Multifamily New Construction Program—

(i)

which meets the requirements of subsection (c)(1)(A) (and which does not meet the requirements of subsection (c)(1)(B)), $500, and

(ii)

which meets the requirements of subsection (c)(1)(B), $1,000.

(b)

Definitions

For purposes of this section—

(1)

Eligible contractor

The term “eligible contractor” means—

(A)

the person who constructed the qualified new energy efficient home, or

(B)

in the case of a qualified new energy efficient home which is a manufactured home, the manufactured home producer of such home.

(2)

Qualified new energy efficient home

The term “qualified new energy efficient home” means a dwelling unit—

(A)

located in the United States,

(B)

the construction of which is substantially completed after the date of the enactment of this section, and

(C)

which meets the energy saving requirements of subsection (c).

(3)

Construction

(4)

Acquire

(c)

Energy saving requirements

(1)

In general

(A)

In general

(B)

Zero energy ready home program

(2)

Single-family home requirements

A dwelling unit meets the requirements of this paragraph if—

(A)

such dwelling unit meets—

(i)

(I)

in the case of a dwelling unit acquired before January 1, 2025, the Energy Star Single-Family New Homes National Program Requirements 3.1, or

(II)

in the case of a dwelling unit acquired after December 31, 2024, the Energy Star Single-Family New Homes National Program Requirements 3.2, and

(ii)

the most recent Energy Star Single-Family New Homes Program Requirements applicable to the location of such dwelling unit (as in effect on the latter of January 1, 2023, or January 1 of two calendar years prior to the date the dwelling unit was acquired), or

(B)

such dwelling unit meets the most recent Energy Star Manufactured Home National program requirements as in effect on the latter of January 1, 2023, or January 1 of two calendar years prior to the date such dwelling unit is acquired.

(3)

Multi-family home requirements

A dwelling unit meets the requirements of this paragraph if—

(A)

such dwelling unit meets the most recent Energy Star Multifamily New Construction National Program Requirements (as in effect on either January 1, 2023, or January 1 of three calendar years prior to the date the dwelling was acquired, whichever is later), and

(B)

such dwelling unit meets the most recent Energy Star Multifamily New Construction Regional Program Requirements applicable to the location of such dwelling unit (as in effect on either January 1, 2023, or January 1 of three calendar years prior to the date the dwelling was acquired, whichever is later).

(d)

Certification

(1)

Method of certification

(2)

Form

(e)

Basis adjustment

(f)

Coordination with investment credit

(g)

Prevailing wage requirement

(1)

In general

In the case of a qualifying residence described in subsection (a)(2)(B) meeting the prevailing wage requirements of paragraph (2)(A), the credit amount allowed with respect to such residence shall be—

(A)

$2,500 in the case of a residence which meets the requirements of subparagraph (A) of subsection (c)(1) (and which does not meet the requirements of subparagraph (B) of such subsection), and

(B)

$5,000 in the case of a residence which meets the requirements of subsection (c)(1)(B).

(2)

Prevailing wage requirements

(A)

In general

(B)

Correction and penalty related to failure to satisfy wage requirements

(3)

Regulations and guidance

(h)

Termination

(Added Pub. L. 109–58, title XIII, § 1332(a), Aug. 8, 2005, 119 Stat. 1024; amended Pub. L. 109–432, div. A, title II, § 205, Dec. 20, 2006, 120 Stat. 2945; Pub. L. 110–172, § 11(a)(7), Dec. 29, 2007, 121 Stat. 2485; Pub. L. 110–343, div. B, title III, § 304, Oct. 3, 2008, 122 Stat. 3845; Pub. L. 111–312, title VII, § 703(a), Dec. 17, 2010, 124 Stat. 3311; Pub. L. 112–240, title IV, § 408(a), (b), Jan. 2, 2013, 126 Stat. 2342; Pub. L. 113–295, div. A, title I, § 156(a), Dec. 19, 2014, 128 Stat. 4021; Pub. L. 114–113, div. Q, title I, § 188(a), Dec. 18, 2015, 129 Stat. 3074; Pub. L. 115–123, div. D, title I, § 40410(a), Feb. 9, 2018, 132 Stat. 150; Pub. L. 116–94, div. Q, title I, § 129(a), Dec. 20, 2019, 133 Stat. 3232; Pub. L. 116–260, div. EE, title I, § 146(a), Dec. 27, 2020, 134 Stat. 3055; Pub. L. 117–169, title I, § 13304(a)–(e), Aug. 16, 2022, 136 Stat. 1952–1954.)

cite as: 26 USC 45L