Lock in Your 25C Federal Tax Credits Before 2026
At Temperature Control, we do not push customers with high-pressure sales techniques. We reject tactics meant to scare homeowners into a purchase they don’t need.
Telling you to urgently “Buy now, before time runs out!” or warn you “This is your last chance!” is just not our style. We deliver heating and cooling solutions, not cliches.
However, with the end of 2025 on the horizon, we don’t want Arizona homeowners to miss out on a federal tax credit called the 25C Energy Efficient Home Improvement Credit. It can help you save on HVAC installation and other qualified home improvements by returning a significant chunk of money on your 2025 tax return.
The credit expires December 31, 2025, and all improvements you claim must be installed and in service by that date.
If you are thinking about upgrading your HVAC system, improving your home’s energy efficiency, or making significant strides toward sustainable living, now is the time to act. At Temperature Control, we can help you make it to the finish line before the crucial deadline for this tax credit expires.
How Does the Credit Work?
You are allowed to claim a tax credit of 30 percent of the cost of eligible home energy improvements, up to specific dollar limits, on your federal tax return. The credit helps to lower the cost of your home project.
The key is that the credits expire at the end of this year, and you must complete HVAC upgrades by December 31, 2025, to qualify for the credit.
Which Home Upgrades Qualify?
If you install an air-source heat pump in your Pima County home, you could be eligible for up to $2,000 back on your federal taxes.
Under 25C, taxpayers can claim up to $600 apiece for high-efficiency furnaces and air conditioners, up to $150 for an energy audit, and up to $1,200 for sealing or insulating your Tucson, AZ home.
If you need to upgrade your electrical panel for new HVAC, you can claim up to $600.
Check ENERGY STAR® for a complete list of improvements that qualify for the 25C tax credit, as well as information on product eligibility.
Can You Finish These Projects This Year?
Timing is everything with 25C-eligible installations. When the clock strikes midnight on Jan. 1, 2026, these generous tax credits will expire. Your project must be complete and in service by that deadline.
With only a few months left on the calendar, homeowners need to think realistically about project timelines. Partnering with a focused, local company like Temperature Control can make all the difference.
We typically can schedule, install, and place HVAC equipment into service before the December 31 deadline, provided you book soon:
Heat Pump and Central A/C Installation: These are often one- to three-day jobs once the equipment is delivered. The main hurdle is getting on the schedule before it is completely booked for the year.
High-Efficiency Gas Furnace Replacement: Similar to AC, furnace replacement is a manageable job that is perfect for completing in Tucson’s mild autumn.
Electrical Panel Upgrade: We typically can upgrade your electrical panel in a day.
Insulation and Energy Audits: These smaller-scale improvements are doable within the three-month window. Work with an insulation and audit specialist to complete these projects on time.
Temperature Control can help you plan and execute HVAC and electrical projects with time to spare if you schedule a consultation soon.
What You Need to Claim the 25C Tax Credit
When it is time to file your taxes in early 2026, you will need these key items:
IRS Form 5695: This is the specific tax form used to claim the residential energy credits. You or your tax preparer will need to complete this form.
The Manufacturer’s Certification Statement (M-Cert): The contractor or equipment manufacturer provides this document. It officially certifies that the equipment you purchased meets the stringent energy efficiency standards required by the IRS for the 25C credit. You must keep this certification statement, along with your final project invoice, in your records.
The Form 5695 will require a Qualified Manufacturer (QM) Code or Product Identification Number (PIN) to claim the tax credit. You may find the code included in the certification statement or on product packaging. Insulation and energy audits are exempt. We can help you find the code.
Always talk to a tax advisor before filing to ensure you’re claiming the right credits and submitting the proper paperwork.
Schedule Your HVAC Upgrade Today
At Temperature Control, we specialize in installing high-efficiency, qualified HVAC systems that are perfect for the desert climate and maximize your tax credit potential. However, the window of opportunity to claim these generous tax credits is closing fast.
Don’t wait until the last minute only to find that our installation schedule—or the local permit office—is completely booked. Schedule a consultation with us at Temperature Control and take the first step toward a more efficient, more comfortable, and more affordable home in Tucson, AZ.
Call us at (520) 815-5665 or request service online.