45L Certified Tax Credit Verification

45L Federal Energy Tax Credits

Federal Energy Tax Credits for 45L are back. This bill covers the Federal Energy Efficient Home Tax Credit under Section 45L and the 179D energy deduction for commercial construction. This is a great way to kick off 2020. Builders and Developers now have an opportunity to capture $2,000 of federal energy tax credits per unit they built from 2018 to 2020.

Section 45L Tax Credit for Energy-Efficient New Homes provides builders a $2,000 tax credit for the construction of homes exceeding heating and cooling energy standards by 50%. The base energy code is the 2006 International Energy Conservation Code plus supplements. Builders must have tax basis in the home to claim the credit (i.e., they must own and then sell/lease the residence).

Key Facts

  • Tax Credit applies to Single Family and/or Multi-Family units up to 3 stories including:
    • Single Family Residence(s)
    • Tract or Production Home(s)
    • Residential Condominium(s)
    • Apartment Building(s)
    • Assisted Living Residence(s)
    • Affordable Housing
    • Rehabilitation
    • Substantial Reconstruction
    • Student Housing

  • You can collect for 2019 and retroactive for 2018 – 2020 (as long as you did not already collect).  Claim your tax credit retroactively for up to three years. 

  • Builders and/or Developers has tax basis in the home or dwellings to claim the credit (builder or developer must own and then sell, rent or lease). 

  • New home or dwelling exceeds the 2006 Edition of the International Energy Conservation Code (IECC) heating and cooling budgets by 50%
    • Most California builders and/or developers already qualify due to stringent Title 24 part 6 Energy Efficient Standards already in place.
    • Many Nevada builders also qualify for this federal energy tax credit.

  • Builder and/or Developer must have a detailed energy analysis that is certified by a qualified third-party (such as DuctTesters). The only approved software: EnergyPro v 4.7 to generate the energy savings calculations.

  • All energy efficient features must be verified by a certified and registered HERS (45L Eligible Certifier) rater (such as DuctTesters) for quality assurance.

You do not want to miss this opportunity to collect $2,000 of tax credit per unit.  Our DuctTesters team will ensure that you obtain the maximum tax credits. In addition, we will provide all the official documentation necessary to sustain an IRS audit. We use the IRS approved software programs for the IRC Sec. 45L certification. 

Give DuctTesters – Dave Hegarty (209) 624-8939, Jeremiah Ellis (209) 900-4528 or Alyssa Trebil (818) 517-6936 – a call or email. We will get your company all the tax credits you can qualify for.

What We Need From You

  1. We will need all the lists of addresses that closed. This would consist of the project name, address, lot number or unit number, plan number and closing date.
  2. The architectural plans and title 24 plans as pdfs if we do not already have them.
  3. If we were not the Title 24 Company you used for your Building Energy-Efficiency Standards, you will need to have the Title 24 Company you used send you the .bld or .xml files. Additionally, you need to have them share access and files with us in the HERS Provider Database (CalCERTS or CHEERS).


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