You make the callBy: National Association of Tax Professionals
March 28, 2024

Question: Pam’s roof has been needing to be replaced for several years, and in 2023, she finally sprung for a brand-new metal roof. She paid $70,000 for the double-insulated roof, which is not connected with a solar panel. She came into your office, excited because she heard on the news that she could get a tax credit for some of the roof costs. She has all the pertinent paperwork with her. What do you tell her?

Answer: Unfortunately, there are a lot of sources of misinformation out there. In this case, you must inform Pam that metal roofs no longer qualify for the federal energy efficient home improvement credit. Code §§ 25C(c)(2) and (3), as amended by the 2022 Inflation Reduction Act, removed roofs from the definition of building envelope components. Pam should keep her paperwork in the event of any changes; for 2023, you could assist her in locating any state tax credits, manufacturer rebates or other incentives that may be available.

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penAbout National Association of Tax Professionals

The National Association of Tax Professionals (NATP) is the largest association dedicated to equipping tax professionals with the resources, connections and education they need to provide the highest level of service to their clients. NATP is comprised of over 23,000 leading tax professionals who believe in a superior standard of ethics and exemplify professional excellence. Members rely on NATP to deliver professional connections, content expertise and advocacy that provides them with the support they need to best serve their clients. The organization welcomes all tax professionals in their quest to continually meet the needs of the public, no matter where they are in their careers.

The NATP headquarters is located in Appleton, WI. To learn more, visit www.natptax.com.

Information included in this article is accurate as of the publish date. This post is not reflective of tax law changes or IRS guidance that may have occurred after the date of publishing.

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