The Inflation Reduction Act continues to provide incentives for homeowners looking to upgrade their homes with energy-efficient features. If you’re considering improving your home’s energy performance in 2025, there’s good news: the Window Film Tax Credit is more accessible than ever. Here’s everything you need to know about the available tax incentives for window films in 2025 and beyond.
What’s New for 2025?
In 2023, the Nonbusiness Energy Property Credit was updated to provide homeowners with a $1,200 annual tax credit for energy-efficient home improvements, including window film installations. This annual limit replaces the previous $500 lifetime cap from earlier years.
The best part? You can claim this 30% tax credit on the costs of eligible home improvements, including energy-efficient window films, every year. If you’re planning multiple home upgrades, you can spread out your projects across multiple years to maximize your tax benefits.
How Does the Window Film Tax Credit Work?
The updated tax credit applies to a wide range of energy-saving home improvements, but one of the most impactful (and affordable) options is window film. When you install window film in your home, it can help:
- Reduce energy costs by minimizing heat loss and blocking UV rays that cause fading
- Increase comfort by maintaining more consistent indoor temperatures
- Lower your carbon footprint by reducing the energy needed to heat or cool your home
With the 30% tax credit, you could recoup a significant portion of the installation costs, making it an even more attractive option for homeowners looking to save on both energy bills and taxes.
Why Should You Consider Window Film in 2025?
The Inflation Reduction Act is part of a broader effort to address climate change. It encourages homeowners to make more eco-friendly choices. By installing window film, you’re not only reducing your energy bills but also contributing to the fight against global warming.
Whether you’re installing window film to improve comfort, protect your furniture from UV damage, or reduce your heating and cooling costs, the tax credit is a great reason to make this energy-efficient upgrade now.
How to Claim the Tax Credit
To claim the tax credit for window film, you’ll need to file IRS Form 5695. For step-by-step instructions, visit the IRS website or consult a tax professional for assistance.
If you’re ready to take advantage of this opportunity, MGT Films is here to help. Reach out to us via email at info@mgtfilms.com for more information on how home window films can lower your energy bills. We offer professional installation services for both residential and commercial properties, ensuring you get the maximum benefit from this tax incentive.
References;
https://www.irs.gov/forms-pubs/about-form-5695
https://www.irs.gov/instructions/i5695
https://www.energy.gov/lpo/inflation-reduction-act-2022
https://www.congress.gov/bill/117th-congress/house-bill/5376/text