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Can I still advertise the federal heat pump tax credit in 2026?

For three years, the federal heat pump credit was the easiest line in an HVAC sales pitch. On pages that nobody has edited since, it still is, and the IRS now says the opposite.

A new heat pump on its pad beside a house, with a big sales tag still hanging from it showing a government dome and a dollar sign, struck through in coral, and last year's calendar page, every day crossed off, torn off and lying on the ground in front

No, not for new installs. The federal Energy Efficient Home Improvement Credit, section 25C, ended for any property placed in service after December 31, 2025. A heat pump page that still promises it on a 2026 installation makes a claim that the official source contradicts, on a page an assistant can check against that source. Take it down or rewrite it today.

What the IRS actually said

Quote the government, not a manufacturer's flyer. The IRS page on the Energy Efficient Home Improvement Credit gives the window as opening January 1, 2023, and closing, in its words, "before December 31, 2025", and says qualifying heat pumps could earn up to $2,000 per year. The IRS FAQ on the 2025 law commonly called the One, Big, Beautiful Bill is blunter: "The credit will not be allowed for any property placed in service after December 31, 2025."

The companion credit for solar and geothermal, section 25D, ended on the same date for expenditures made after it, and the same FAQ explains that an expenditure counts as made "when the original installation of the item is completed". For an HVAC company, that closes the question homeowners ask most in January: paying a deposit in December does not carry an installation finished in January back into the old year.

Why this matters more than an old coupon

Most stale content on a contractor's site is harmless: last spring's tune-up special, a photo of a truck you sold. A tax credit claim is different in two ways. It names a federal program, so there is an authoritative page to compare it with. And it is money the homeowner expects to receive, so the customer who relied on it and did not get it has a specific grievance with your name on it. A heat pump page carrying a dead credit is a page that an assistant has good reason not to repeat, and a page that could turn a satisfied install into a complaint.

Where the old claim is hiding

Search your own site for "tax credit", "25C", "30%", "IRA" and "Inflation Reduction Act". Then look in the places a site search misses:

  • Banner images and hero graphics with the credit written into the picture.
  • PDF brochures and financing flyers linked from the heat pump page.
  • Blog posts from 2023 and 2024 titled "how to save on a heat pump".
  • The Google Business Profile, where offers and posts can linger.
  • Paid ads and landing pages built for the last season's campaign.

Old posts do not have to be deleted. A dated note at the top ("Update: this federal credit ended for property placed in service after December 31, 2025") keeps the history honest and stops the claim from reading as current.

The state and utility programs move too

California programs change as funding opens and runs out. The California Energy Commission's page on its federally funded residential rebate programs reports that as of February 24, 2026, its single-family heat pump rebates were "fully reserved statewide", with pending requests placed on a waitlist. TECH Clean California and utility programs have their own budgets and windows. So never write a rebate as a permanent fact. Link to the program's own page, write the date you last checked it, and assign one person to recheck every incentive line on the first of each month.

What to put on a heat pump page now

Make the case without the credit: how a heat pump heats and cools with one system, what it replaces in the homes you work on, whether a panel upgrade is common in your area, and what the permit and testing involve. Then a short, dated section titled "Rebates and credits" that says what ended, links what is open, and tells homeowners to confirm with their tax professional. That section is the one most likely to be checked against a government page, so it is the one that has to be right. This is not tax advice.

Dated claims are one of several ways an HVAC site drifts out of date. The rest are on the HVAC guide.

Not legal or tax advice. This describes how AI systems can read a heating and air company in public; licensing, permit, refrigerant, pricing and incentive rules are set by federal, state and local agencies, and they change.

Questions

Is there still a federal tax credit for a heat pump installed in 2026?

Not under section 25C. The IRS FAQ on the 2025 law commonly called the One, Big, Beautiful Bill says the Energy Efficient Home Improvement Credit will not be allowed for any property placed in service after December 31, 2025. A heat pump installed in 2026 does not qualify for that credit. This is not tax advice; homeowners should ask a tax professional about their own return.

What if the homeowner paid in 2025 but the heat pump was installed in 2026?

The 25C rule turns on when the property is placed in service, and the IRS says the credit is not allowed for property placed in service after December 31, 2025. For the separate section 25D credit, the IRS says an expenditure is treated as made when installation is completed. Paying early does not move the date. Refer the homeowner to a tax professional.

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This page is part of AI visibility for HVAC companies, the AIOInsights guide to how AI systems find, read and describe this kind of practice.

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