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Can I get a tax credit for new windows?

Tax Creditsbeginner3 answers · 4 min readUpdated February 28, 2026

Quick Answer

Yes, you can claim up to $600 per year for qualifying energy-efficient windows under the Residential Clean Energy Credit. The credit covers 30% of costs through 2032, with a maximum of $200 per window and $600 total annually for exterior doors, windows, and skylights combined.

Best Answer

RK

Robert Kim, Tax Return Analyst

Best for homeowners planning significant energy upgrades who want to maximize their tax savings

Top Answer

How much can you save with the window tax credit?


Yes, you can claim a federal tax credit for energy-efficient windows, but the rules are specific. Under the Residential Clean Energy Credit (formerly Section 25C), you can claim 30% of the cost of qualifying windows, up to $200 per window and $600 total per year for all exterior doors, windows, and skylights combined.


Example: $8,000 window replacement project


Let's say you're replacing 8 windows at $1,000 each ($8,000 total). Here's how the credit works:


  • Per-window limit: $200 maximum credit per window (30% of $667 cost)
  • Your actual credit: 8 windows × $200 = $1,600
  • Annual cap: You can only claim $600 per year
  • Result: You'd claim $600 in 2026, then $600 in 2027, with $400 remaining unclaimed

  • The credit phases down after 2032: 26% in 2033, 22% in 2034, then expires unless extended by Congress.


    What windows qualify for the credit?


    Windows must meet specific Energy Star requirements:


  • U-Factor: 0.25 or less (measures heat transfer)
  • Solar Heat Gain Coefficient (SHGC): Varies by climate zone
  • Energy Star certified: Must display the Energy Star label
  • New installation: Replacement windows qualify; repairs don't

  • Key factors that affect your credit


  • Installation timing: Windows must be "placed in service" (installed) during the tax year you claim the credit
  • Primary residence only: Rental properties and vacation homes don't qualify
  • Annual cap: The $600 limit applies to ALL exterior doors, windows, and skylights combined
  • Manufacturer certification: Keep the Energy Star certificate and manufacturer's statement for your records

  • What you should do


    Before purchasing windows, verify they meet Energy Star requirements and ask your contractor for the manufacturer's certification statement (required by the IRS). Use Form 5695 to claim the credit when filing your tax return.


    [Use our return scanner to check if you've missed this or other energy credits →]


    Key takeaway: Energy-efficient windows can earn you up to $600 per year in tax credits, but plan multi-year projects carefully due to the annual cap.

    *Sources: [IRS Publication 5695 Instructions](https://www.irs.gov/pub/irs-pdf/i5695.pdf), [Energy Star Window Requirements](https://www.energystar.gov/products/building_products/residential_windows_doors_skylights)*

    Key Takeaway: Energy-efficient windows qualify for a 30% tax credit up to $200 per window, with a $600 annual cap for all exterior doors, windows, and skylights combined.

    Window replacement costs and maximum tax credits by project size

    Project SizeTotal CostPer-Window CreditMaximum Annual CreditYears to Claim Full Benefit
    2 windows$1,400$200 each$4001 year
    3 windows$2,100$200 each$600 (capped)1 year
    6 windows$4,200$200 each$600 (capped)2 years
    10 windows$7,000$200 each$600 (capped)4 years

    More Perspectives

    DF

    Diana Flores, Tax Credits & Amendments Specialist

    Best for homeowners doing smaller window projects who want to understand the credit limits

    Smart planning for smaller window projects


    If you're replacing just a few windows, the per-window limit works in your favor. For a $500 Energy Star window, you'd get the full 30% credit ($150). But for a $1,000 window, you still only get $200 due to the per-window cap.


    Example: 3-window project


    Replacing 3 windows at $700 each ($2,100 total):

  • Each window: 30% of $700 = $210, capped at $200
  • Total credit: 3 × $200 = $600
  • You use your entire annual limit on this project

  • The key insight: You don't need expensive windows to maximize the credit. Focus on meeting Energy Star requirements rather than premium features that don't increase your tax benefit.


    Timing strategy for multiple projects


    If you're also considering a new front door (up to $250 credit) or skylights, spread installations across tax years to avoid hitting the $600 annual cap. Install windows in Year 1, door in Year 2 to maximize total credits.


    Key takeaway: Smaller window projects can be more tax-efficient per dollar spent, and strategic timing helps you claim the maximum credit across multiple years.

    Key Takeaway: Smaller window projects often provide better tax efficiency per dollar, and timing installations across tax years maximizes total credit potential.

    DF

    Diana Flores, Tax Credits & Amendments Specialist

    Best for retirees who want to understand how energy credits work with limited tax liability

    How energy credits work when you owe little tax


    The window credit is "nonrefundable," meaning it can only reduce your tax liability to zero—you won't get a refund if the credit exceeds what you owe. However, unused credits carry forward to future tax years.


    Example: Retiree with $300 tax liability


    You install $2,000 worth of Energy Star windows, earning a $600 credit:

  • 2026 tax liability: $300
  • Credit used in 2026: $300 (reduces tax to zero)
  • Credit carried forward to 2027: $300
  • If 2027 tax liability is $400, you'd use the remaining $300 and owe $100

  • Planning considerations for retirees


  • Roth conversions: If you're doing strategic Roth IRA conversions that increase your tax bill, energy credits can offset this additional tax
  • Medicare IRMAA impact: Energy credits reduce your adjusted gross income for Medicare premium calculations
  • Estate planning: Unused credits don't transfer to heirs, so consider accelerating other taxable income to use credits

  • Key takeaway: Even with low tax liability, energy credits carry forward and can offset future taxes from Roth conversions or other planning strategies.

    Key Takeaway: Energy credits carry forward indefinitely for retirees with low tax liability and can offset future taxes from Roth conversions or other income.

    Sources

    home improvementenergy efficiencytax creditswindows

    Reviewed by Robert Kim, Tax Return Analyst on February 28, 2026

    This content is for educational purposes only and is not a substitute for professional tax advice. Consult a qualified tax professional for advice specific to your situation.

    Can I Get a Tax Credit for New Windows? | MissedDeductions