Inflation Reduction Act

The Inflation Reduction Act of 2022 

Now is the time to think about upgrading your heating and cooling system. The Inflation Reduction Act of 2022 provides tax credits and point-of-sale rebates that can equal thousands of dollars for the installation of high-efficiency HVAC equipment.

Join the Heat Pump Revolution

The Inflation Reduction Act provides tax credit incentives for homeowners replacing aging equipment with high-efficiency HVAC systems!

An all-electric Goodman® Heat Pump can deliver year-round comfort with minimal impact on the environment.

Why Upgrade to a Heat Pump?

Heat pump installations receive an unprecedented incentive package to support converting homes to all-electric, high-efficiency solutions.

A high-efficiency heat pump may help improve your indoor comfort, and upgrading from your existing lower-efficiency HVAC system can lead to energy bill savings for years to come.

"Upgrading to an ENERGY STAR®-certified heat pump can help you transition from fossil fuels for a cleaner, healthier, more comfortable home."  -ENERGY STAR


An All-Electric Heat Pump

  • Helps reduce your home's carbon footprint.
  • Does not utilize fossil fuels to maintain indoor comfort.
  • Does not produce combustion byproducts.
  • For eligible homeowners meeting IRS income requirements, installation may qualify for an $8,000 tax credit. State-by-state availability.

What is the Inflation Reduction Act?

The Inflation Reduction Act of 2022 (IRA) opens the door for homeowners across the United States to update their heating and cooling systems to select high-efficiency solutions.

The IRA is designed to accelerate the adoption of all-electric HVAC equipment and lower utility bills for homes and businesses.

How Can I Get Started with My Energy Upgrade?

Contact your local Goodman® dealer to discuss the eligible Inflation Reduction Act products that are right for your home. As part of the Inflation Reduction Act, multiple home comfort solutions' incentives have been amended and extended.* 

img-round-savings Energy Efficient Home Improvement Credit (25C)

Increases the tax credit value from 10% of installed costs to 30% for products meeting the CEE’s highest efficiency tier, up to a maximum of $600 for qualified air conditioners and furnaces, and a maximum of $2,000 for qualified heat pumps effective January 1, 2023. Additionally, the existing tax credits (up to $300 for heat pumps) are also retroactive for equipment placed in service after 12/31/21.

2022 25C Qualifying Residential Indoor Comfort Systems

img-round-meter  Home Efficiency Rebate Program

Depending on modeled energy savings, and IRS income requirements, homeowners may be able to receive up to $8,000 rebate for the installation of a high efficiency equipment. Also, the update adds qualified home energy audits as eligible improvements for up to a $150 tax credit.

img-round-family  Home Electrification & Appliance Rebate Program

Once states apply for funds and set up their programs, consumers can begin to qualify for income-depending rebates of the following:

  • Up to $8,000 for all-electric ENERGY STAR-certified heat pumps to eligible homeowners and other qualifying individuals.
  • Up to $1,600 insulation, air sealing, and ventilation.
  • Up to $4,000 for Electric Load Service Center.
  • Up to $2,500 for Electric wiring.

    The maximum rebate is $14,000 per household.

    The Home Electrification & Appliance Rebate Program cannot be combined. Consult your tax professional for specific details concerning your ability to qualify.

How Can My Upgrade Become Even More Affordable?

Depending on your income bracket in your location, upgrading your HVAC system may be more affordable than ever. Homeowners and business owners should consider:

* This information does not, and should not be considered tax advice. All information is for general purposes only. Contact your tax professional for specific, applicable details.