IRA incentive stack

What will the AC system
actually cost after incentives?

The federal Section 25C tax credit ended for systems placed in service after 31 December 2025 and no longer applies to 2026 installs. The HEEHRA point-of-sale rebate (up to $8,000 for income-qualified households), state programmes, and utility rebates remain and can still stack to cut a $12,000 sticker substantially. The calculator returns net cost across these remaining incentive layers.

system & rebates

System type

Quoted installed cost ($)

State programme

Utility rebate ($)

Check your utility's heat-pump rebate page.

net cost after all incentives

$5,000

vs sticker of $11,000 (55% off)

incentive stack

Gross installed cost$11,000
HEEHRA point-of-sale rebate−$5,500
Utility rebate−$500
NET COST$5,000

The federal Section 25C tax credit ended for systems placed in service after 31 December 2025 (One Big Beautiful Bill Act) and is not included here for 2026 installs. HEEHRA is a point-of-sale rebate applied at install time. State programmes vary by year (CA Energize, ME Efficiency Maine, NY Clean Heat, MA Mass Save). Utility rebates vary by territory. Verify all programmes are active in your area before signing.

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Holding a quote that does not add up?

Write in with it. Questions are read by a human being here, and every reply points at what it stands on, a manufacturer spec sheet, a federal efficiency rule, a utility rebate schedule. Where a question is worth answering in public as well, we will check with you and take the identifying detail out before anything is published.

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Where this stops

These pages are a cost reference, not a sizing or refrigerant safety recommendation. The load calculation for your house and the equipment chosen off the back of it belong with a licensed HVAC contractor, and so does anything that involves opening a refrigerant circuit.

Updated 2026-04-27