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Department of the Treasury
Internal Revenue Service
2023

Instructions for Form 5695

Residential Energy Credits

Section references are to the Internal Revenue Code unless • The residential clean energy credit, and
otherwise noted. • The energy efficient home improvement credit.
Also use Form 5695 to take any residential clean energy credit
General Instructions carryforward from 2022 Form 5695 or to carry the unused portion of
the residential clean energy credit to 2024.
Future Developments
Who Can Take the Credits
For the latest information about developments related to Form 5695
and its instructions, such as legislation enacted after they were You may be able to take the credits if you made energy saving
published, go to IRS.gov/Form5695. improvements to your home located in the United States in 2023.
Home. A home is where you lived in 2023 and can include a house,
What’s New houseboat, mobile home, cooperative apartment, condominium, and
a manufactured home that conforms to Federal Manufactured Home
Residential clean energy credit. The residential clean energy Construction and Safety Standards.
credit added a credit for qualified battery storage technology. Battery
storage technology costs are allowed for the residential clean energy You must reduce the cost basis of your home if a residential
credit for expenses paid after December 31, 2022. See Qualified energy credit is allowed for any expense for any property. The
battery storage technology costs, later, for details. increase in the basis of the property that would result from the
expenses will be reduced by the amount of the allowed credit.
Biomass fuel property costs are no longer allowed for the
Residential Clean Energy Credit for property placed in service after Main home Your main home is generally the home where you live
December 31, 2022. most of the time. A temporary absence due to special
circumstances, such as illness, education, business, military service,
Energy efficient home improvement credit. The energy efficient or vacation, won't change your main home
home improvement credit is now divided into two sections to
differentiate between qualified energy efficiency improvements and Costs. For purposes of both credits, costs are treated as being paid
residential energy property expenditures. when the original installation of the item is completed, or, in the case
For the energy efficient home improvement credit, the lifetime of costs connected with the reconstruction of your home, when your
limitation has been replaced by an annual credit limit. A 30% credit, original use of the reconstructed home begins. For purposes of the
up to a maximum of $1,200, may be allowed for: residential clean energy credit only, costs connected with the
• Insulation material or air sealing material or systems, construction of a home are treated as being paid when your original
• Exterior doors, use of the constructed home begins. If less than 80% of the use of
• Windows and skylights, an item is for nonbusiness purposes, only that portion of the costs
• Central air conditioners, that is allocable to the nonbusiness use can be used to determine
• Natural gas, propane or oil water heaters, either credit.
• Natural gas, propane or oil furnaces or hot water boilers, The residential clean energy credit (Part I) is available for
• Improvements or replacement of panelboards, subpanelboards, ! both existing homes and homes being constructed. The
branch circuits or feeders, and CAUTION energy efficient home improvement credit (Part II) is only
• Home energy audits. available for existing homes.
The limits for each category of these items that qualify for a credit is
discussed later in Section A—Qualified Energy Efficiency IRS guidance issued with respect to the energy credit under
Improvements. ! section 48, such as Notice 2018-59 and Notice 2021-41,
Heat pumps and heat pump water heaters, biomass stoves and CAUTION does not apply to the residential energy credits.
biomass boilers have a separate annual credit limit of $2,000 with no Association or cooperative costs. If you are a member of a
lifetime limitation, which replaces the prior lifetime limitation of $500. condominium management association for a condominium you own
For additional information and Frequently Asked Questions about or a tenant-stockholder in a cooperative housing corporation, you
energy efficient home improvements and residential clean energy are treated as having paid your proportionate share of any costs of
property credits, see Fact Sheet 2022-40 at https://www.irs.gov/pub/ such association or corporation.
taxpros/fs-2022–40.pdf. If you received a subsidy from a public utility for the
purchase or installation of an energy conservation product
Reminders CAUTION! and that subsidy wasn't included in your gross income, you
Residential energy efficient property credit. The residential must reduce your cost for the product by the amount of that subsidy
energy efficient property credit is now the residential clean energy before you figure your credit. This rule also applies if a third party
credit. The credit rate for property placed in service in 2022 through (such as a contractor) receives the subsidy on your behalf.
2032 is 30%.
Energy efficient home improvement credit. The nonbusiness Residential Clean Energy Credit
energy property credit is now the energy efficient home improvement
credit. The credit is extended to property placed in service through (Part I)
December 31, 2032. If you made energy saving improvements to more than one home
that you used as a residence during 2023, enter the total of those
Purpose of Form costs on the applicable line(s) of one Form 5695. For qualified fuel
cell property, see Lines 7a and 7b, later.
Use Form 5695 to figure and take your residential energy credits.
The residential energy credits are:

Jan 25, 2024 Cat. No. 66412G

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You may be able to take a credit of 30% of your costs of qualified electricity using an electrochemical process and an electricity-only
solar electric property, solar water heating property, small wind generation efficiency greater than 30%.
energy property, geothermal heat pump property, battery storage
technology, and fuel cell property. Include any labor costs properly Costs allocable to a swimming pool, hot tub, or any other
allocable to the onsite preparation, assembly, or original installation ! energy storage medium that has a function other than the
of the residential clean energy property and for piping or wiring to CAUTION function of such storage don't qualify for the residential clean
interconnect such property to the home. The credit amount for costs energy credit.
paid for qualified fuel cell property is limited to $500 for each Joint occupancy. If you occupied your home jointly with someone
one-half kilowatt of capacity of the property. other than your spouse, each occupant must complete their own
Qualified solar electric property costs. Qualified solar electric Form 5695. To figure the credit, the maximum qualifying costs that
property costs are costs for property that uses solar energy to can be taken into account by all occupants for qualified fuel cell
generate electricity for use in your home located in the United property costs is $1,667 for each one-half kilowatt of capacity of the
States. No costs relating to a solar panel or other property installed property. The amount allocable to you for qualified fuel cell property
as a roof (or portion thereof) will fail to qualify solely because the costs is the lesser of:
property constitutes a structural component of the structure on which 1. The amount you paid, or
it is installed. Some solar roofing tiles and solar roofing shingles
serve the function of both traditional roofing and solar electric 2. The maximum qualifying cost of the property multiplied by a
collectors, and thus serve functions of both solar electric generation fraction. The numerator is the amount you paid and the denominator
and structural support. These solar roofing tiles and solar roofing is the total amount paid by you and all other occupants.
shingles can qualify for the credit. This is in contrast to structural These rules don't apply to married individuals filing a joint return.
components such as a roof's decking or rafters that serve only a
roofing or structural function and thus do not qualify for the credit. Example. Ava owns a house with Bruce where they both reside.
The home doesn't have to be your main home. In 2023, they installed qualified fuel cell property at a cost of $20,000
with a kilowatt capacity of 5. Ava paid $12,000 towards the cost of
Qualified solar water heating property costs. Qualified solar the property and Bruce paid the remaining $8,000. The amount to be
water heating property costs are costs for property to heat water for allocated is $16,670 ($1,667 x 10 (kilowatt capacity x 2)). The
use in your home located in the United States if at least half of the amount of cost allocable to Ava is $10,002 ($16,670 x
energy used by the solar water heating property for such purpose is $12,000/$20,000). The amount of cost allocable to Bruce is $6,668
derived from the sun. No costs relating to a solar panel or other ($16,670 x $8,000/$20,000).
property installed as a roof (or portion thereof) will fail to qualify
solely because the property constitutes a structural component of Energy Efficient Home Improvement
the structure on which it is installed. Some solar roofing tiles and
solar roofing shingles serve the function of both traditional roofing Credit
and solar electric collectors, and thus serve functions of both solar
electric generation and structural support. These solar roofing tiles (Part II)
and solar roofing shingles can qualify for the credit. This is in
contrast to structural components such as a roof's decking or rafters Section A—Qualified Energy Efficiency
that serve only a roofing or structural function and thus do not qualify Improvements
for the credit. To qualify for the credit, the property must be certified You may be able to take a credit equal to 30% of the sum of:
for performance by the nonprofit Solar Rating Certification
Corporation or a comparable entity endorsed by the government of 1. The amount paid or incurred for qualified energy efficiency
the state in which the property is installed. The home doesn't have to improvements installed during 2023,
be your main home. 2. The amount of the residential energy property costs paid or
Qualified small wind energy property costs. Qualified small incurred in 2023, and
wind energy property costs are costs for property that uses a wind 3. The amount paid or incurred for home energy audits during
turbine to generate electricity for use in connection with your home 2023.
located in the United States. The home doesn't have to be your main
home. However, this credit is limited as follows.
• A total combined credit limit of $1,200 for qualified energy
Qualified geothermal heat pump property costs. Qualified property.
geothermal heat pump property costs are costs for qualified • A credit limit of $600 for any qualified energy property item.
geothermal heat pump property installed on or in connection with • A combined credit limit of $600 for all exterior windows and
your home located in the United States. Qualified geothermal heat skylights.
pump property is any equipment that uses the ground or ground • A credit limit of $250 for any qualifying exterior door and $500
water as a thermal energy source to heat your home or as a thermal total for all qualifying exterior doors.
energy sink to cool your home. To qualify for the credit, the • A combined credit limit of $2,000 for heat pump and heat pump
geothermal heat pump property must meet the requirements of the water heaters; biomass stoves and boilers.
Energy Star program that are in effect at the time of purchase. The • A credit limit of $150 for home energy audits.
home doesn't have to be your main home.
Subsidized energy financing. Any amounts provided for by
Qualified battery storage technology costs. Qualified battery subsidized energy financing can't be used to figure the energy
storage technology costs are costs for battery storage technology efficient home improvement credit. This is financing provided under
that is installed in connection with your home located in the United a federal, state, or local program, the principal purpose of which is to
States and has a capacity of at least 3 kilowatt hours. provide subsidized financing for projects designed to conserve or
Qualified fuel cell property costs. Qualified fuel cell property produce energy.
costs are costs for qualified fuel cell property installed on or in Qualified energy efficiency improvements. Qualified energy
connection with your main home located in the United States. efficiency improvements are the following building envelope
Qualified fuel cell property is an integrated system comprised of a components installed on or in your main home that you owned
fuel cell stack assembly and associated balance of plant during 2023 located in the United States if the original use of the
components that converts a fuel into electricity using component begins with you, the component can be expected to
electrochemical means. To qualify for the credit, the fuel cell property remain in use at least 5 years, and the component meets certain
must have a nameplate capacity of at least one-half kilowatt of energy standards.

2 Instructions for Form 5695 (2023)

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• Any insulation material or system and air sealing material or on the appropriate lines of Form 5695, Part II. The amount allocable
system that is specifically and primarily designed to reduce heat loss to you is the smaller of:
or gain of a home when installed in or on such a home. 1. The amount you paid, or
• Exterior windows and skylights.
• Exterior doors. 2. The qualifying credit of the property multiplied by a fraction.
The numerator is the amount you paid and the denominator is the
For purposes of figuring the credit, don't include amounts paid for total amount paid by you and all other owners.
the onsite preparation, assembly, or original installation of the
building envelope component. The credit limit for each property is as follows.
• $1,200 for insulation or air sealing material system.
To qualify for the credit, qualified energy efficiency • $250 for one exterior door and $500 for all exterior doors.
! improvements must meet certain energy efficiency • $600 for windows.
CAUTION requirements. See Line 18a through Line 20a, later, for • $600 for central air conditioners.
details. • $600 for natural gas, propane, or oil water heaters.
• $600 for natural gas, propane, or oil furnace or hot water boilers.
Section B—Residential Energy Property • $600 for improvements or replacements of panelboards,
subpanelboards, branch circuits, or feeders.
Expenditures • $150 for home energy audits.
Residential energy property costs are costs of new qualified energy • $2,000 for heat pumps and heat pump water heaters; biomass
property that is installed on or in connection with a home that you stoves and biomass boilers.
used during 2023 located in the United States. Include any labor
costs properly allocable to the onsite preparation, assembly, or
original installation of the energy property. Qualified energy property Specific Instructions
is any of the following.
• Certain electric or natural gas heat pump water heaters; electric Part I
or natural gas heat pumps; central air conditioners; and natural gas,
propane, or oil water heaters. Residential Clean Energy Credit
• Natural gas, propane, or oil furnaces and hot water boilers.
• Certain biomass stoves and biomass boilers. Before you begin Part I.
• Certain improvements or replacements of panelboards, Figure the amount of the credits shown in the credit limitation
subpanelboards, branch circuits, or feeders. worksheet if you take those credits on your return.
To qualify for the credit, qualified energy property must meet Include on lines 1 through 4, 5b, and 8, any labor costs
! certain energy efficiency requirements. See Line 22a TIP properly allocable to the onsite preparation, assembly, or
CAUTION through Line 25a and Lines 29a Through 29e, later, for
original installation of the property and for piping or wiring to
details. interconnect such property to the home.
Home energy audits. Home energy audits costs are costs for an
inspection of your main home located in the United States and a In the section above line 1, enter the complete address of the
written report was prepared by a certified home energy auditor that: home where you installed the qualified residential clean energy
property or technology associated with lines 1 through 4 and 5b. If
1. Identifies the most significant and cost-effective energy you made improvements to more than one home, list the complete
efficiency improvements for the home, including an estimate of the address of the home with the greatest total cost in the section above
energy and cost savings for each improvement; and line 1. Then, attach a statement listing the additional addresses to
2. Is conducted and prepared by a certified home energy Form 5695.
auditor.
To qualify for the credit, home energy audits must meet Line 1
! certain requirements. See Lines 26a Through 26c, later, for
CAUTION details.
Enter the amounts you paid for qualified solar electric property. See
Qualified solar electric property costs, earlier.
Joint ownership of qualified property. If you and a neighbor
shared the cost of qualifying property to benefit each of your main
homes, both of you can take the energy efficient home improvement Line 2
credit. You figure your credit on the part of the cost you paid. The
limit on the amount of the credit applies to each of you separately. Enter the amounts you paid for qualified solar water heating
Married taxpayers with more than one home. If both you and property. See Qualified solar water heating property costs, earlier.
your spouse owned and lived apart in separate main homes, the limit
on the amount of the credit applies to each of you separately. If you Line 3
are filing separate returns, both of you would complete a separate
Form 5695. If you are filing a joint return, figure your energy efficient Enter the amounts you paid for qualified small wind energy property.
home improvement credit as follows. See Qualified small wind energy property costs, earlier.
1. Complete lines 17a through 30 of a separate Form 5695 for
each main home.
Line 4
2. Figure the amount to be entered on line 30 of both forms and
enter the combined amount on line 30 of one of the forms.
Enter the amounts you paid for qualified geothermal heat pump
3. On the dotted line to the left of line 30, enter “More than one property. See Qualified geothermal heat pump property costs,
main home.” Then, complete the rest of this form. earlier.
4. Attach both forms to your return.
Joint occupancy. If you owned your home jointly with someone Lines 5a and 5b
other than your spouse, each owner must complete their own Form
5695. To figure the credit, enter the amounts you paid for these items To qualify for the credit, the qualified battery storage technology
must have a capacity of at least 3 kilowatt hours.

Instructions for Form 5695 (2023) 3

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  If the qualified battery storage technology has a capacity of 3     Residential Clean Energy Credit Limit 
kilowatt hours or greater, then check the “Yes” box, enter the 
amounts you paid for qualified battery storage technology on line 5b. Worksheet—Line 14

  If you check the “No” box, you can't include any battery storage    1. Enter the amount from Form 1040, 
technology costs on line 5b. See Qualified battery storage               1040-SR, or 1040-NR, line 18             . .   1.                  
technology costs, earlier.                                            2. Enter the total of the following 
                                                                         credit(s)/adjustment(s) if you are 
Lines 7a and 7b                                                          taking the credit(s)/adjustment(s) on 
                                                                         your 2023 income tax return:
Any qualified fuel cell property costs must have been for your main      + Negative Form 8978 Adjustment, 
home located in the United States. See Main home, earlier. If you                                                           
check the “Yes” box, enter the full address of your main home during     Schedule 3 (Form 1040), line 6l              .
2023 on line 7b.                                                         + Foreign Tax Credit, Schedule 3 
                                                                         (Form 1040), line 1      . . . . . . . . . .      
  If you and your spouse are filing jointly and you each have            + Credit for Child and Dependent 
different main homes with qualified fuel cell property costs, provide    Care Expenses, Schedule 3 (Form 
on line 7b the address of your main home. Add a statement                                                                  
providing the address of your spouse's main home. You and your           1040), line 2 . . . . . . . . . . . . . . .
spouse should add your qualified fuel cell property costs together on    + Credit for the Elderly or the 
line 8 of one Form 5695.                                                 Disabled, Schedule R (Form 1040), 
                                                                         line 22  . . . . . . . . . . . . . . . . . . .    
  If you check the “No” box, you can't include any fuel cell property    + Nonrefundable Education Credits, 
costs on line 8.                                                                                                           
                                                                         Schedule 3 (Form 1040), line 3 . .
                                                                         + Retirement Savings Contributions 
Line 8
                                                                         Credit, Schedule 3 (Form 1040), 
Enter the amounts you paid for qualified fuel cell property. See         line 4 . . . . . . . . . . . . . . . . . . . .    
Qualified fuel cell property costs, earlier.                             + Energy efficient home 
                                                                         improvement credit, Form 5695, 
Line 14                                                                  line 32* . . . . . . . . . . . . . . . . . .      
                                                                         + Credit for previously owned clean 
Complete the following worksheet to figure the amount to enter on        vehicles, Form 8936, line 18 . . . .              
line 14.                                                                 + New Clean Vehicle Credit, 
                                                                         Personal use part, Form 8936, 
                                                                         line 13  . . . . . . . . . . . . . . . . . . .    
                                                                         + Child tax credit or credit for other 
                                                                         dependents, Form 1040, 1040-SR, 
                                                                         or 1040-NR, line 19*       . . . . . . . . .      
                                                                         + Mortgage Interest Credit, Form 
                                                                         8396, line 9   . . . . . . . . . . . . . . .      
                                                                         + Adoption Credit, Form 8839, 
                                                                         line 16  . . . . . . . . . . . . . . . . . . .    
                                                                         + Carryforward of the District of 
                                                                         Columbia First-Time Homebuyer 
                                                                         Credit, Form 8859, line 3        . . . . . .      
                                                                         Note. Enter the total of the 
                                                                         preceding credit(s)/adjustment(s), 
                                                                         only if allowed and taken on your 
                                                                         2023 income tax return. Not all 
                                                                         credits/adjustments are available for 
                                                                         all years nor for all filers. See the 
                                                                         instructions for your 2023 income tax 
                                                                         return.                                        2.
                                                                      3. Subtract line 2 from line 1. Also enter 
                                                                         this amount on Form 5695, line 14. If 
                                                                         zero or less, enter -0- on Form 5695, 
                                                                         lines 14 and 15 . . . . . . . . . . . . .      3.

                                                                      * Include the amount in the instructions for Schedule 8812 (Form 
                                                                      1040), Credit Limit Worksheet B, line 14, instead of the amount from 
                                                                      Form 1040, 1040-SR, or 1040-NR, line 19, if the instructions for 
                                                                      Schedule 8812 (Form 1040) direct you to complete Credit Limit 
                                                                      Worksheet B.

4                                                                                                     Instructions for Form 5695 (2023)

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Manufacturer’s certification. For purposes of taking the credit, Lines 19a Through 19e
you can rely on the manufacturer’s certification, in writing, that a
product is qualifying property for the credit. Don't attach the Line 19a. Enter the amounts you paid for the most expensive
certification to your return. Keep it for your records. exterior door that meets the Energy Star program requirements.
Don't enter more than $250 on line 19b.
Line 16 Line 19c. Enter the amounts you paid for all other qualifying exterior
doors in 2023.
If you can't use all of the credit because of the tax liability limit (that Don't enter more than $500 on line 19e.
is, line 14 is less than line 13), you can carry the unused portion of
the credit to 2024.
Line 20a
File this form even if you can't use any of your credit in 2023.
Enter the amounts you paid for exterior windows and skylights that
Part II meet Energy Star certification requirements.

Energy Efficient Home Improvement Don't enter more than $600 on line 20b.
Credit Manufacturer’s certification. For purposes of taking the credit,
you can rely on a manufacturer’s certification in writing that a building
Section A—Qualified Energy Efficiency envelope component is an eligible building envelope component.
Improvements Don't attach the certification to your return. Keep it for your records.

Lines 17a Through 17e Section B—Residential Energy Property
Line 17a. To qualify for the credit, any qualified energy efficiency Expenditures
improvements must have been for your main home located in the Lines 21a Through 21c
United States. See Main home, earlier. If you check the “No” box,
you can't take the energy efficient home improvement credit. Line 21a. To qualify for the credit, any qualified energy property
Line 17b. To qualify for the credit, you must be the original user of installed on or in your home must be located in the United States. If
the qualified energy efficiency improvements. If you check the “No” you check the “No” box, you can't take the energy efficient home
box, you can't take the energy efficient home improvement credit. improvement credit for your residential energy property costs.
Line 17c. To qualify for the credit, the components must be Line 21b. To qualify for the credit, the qualified energy property
reasonably expected to remain in use for at least 5 years on your must have been originally placed in service by you. If you check the
main home located in the United States. If you check the “No” box, “No” box, you can't take the energy efficient home improvement
you can't take the energy efficient home improvement credit. credit for your residential energy property costs.
Line 17d. Enter the complete address of your main home during Line 21c. Enter the full address of each home where you installed
2023. You can only claim the energy efficient home improvement qualified residential energy property.
credit on one main home. Include on lines 22a, 23a, 24a, 25a, 29a, 29b, and 29c any
Line 17e. You cannot claim the credit for expenses related to the TIP labor costs properly allocable to the onsite preparation,
construction of a new home. If you are claiming the credit only for assembly, or original installation of the property.
expenses for qualified improvements to an existing home or for an
addition or renovation to an existing home, check the “No” box. If the
qualified improvements for which you are seeking to claim the credit Line 22a
are related to the construction of a new home, check the “Yes” box. If
you check the “Yes” box, skip lines 18a through 20b. Enter the amounts you paid for central air conditioners that achieve
the highest efficiency tier that has been established by the
Consortium for Energy Efficiency (CEE) that is in effect as of the
Lines 18a and 18b beginning of the calendar year in which the property is placed in
Note. A reference to the IECC is a reference to the International service.
Energy Conservation Code as in effect (with supplements) on
January 1, 2021 for components placed in service during 2023. Don't enter more than $600 on line 22b.
Don't include on lines 18a, 19a, 19c, and 20a any amounts
! paid for the onsite preparation, assembly, or original Line 23a
CAUTION installation of the components.
Enter the amounts you paid for natural gas, propane, or oil water
Line 18a. Enter the amounts you paid for any insulation material or heaters that achieve the highest efficiency tier established by the
air sealing material or system (including any vapor retarder or seal to CEE that is in effect as of the beginning of the calendar year in which
limit infiltration) that is specifically and primarily designed to reduce the property is placed in service.
the heat loss or gain of your home when installed in or on such home
and meets the criteria established by the IECC. Don't enter more than $600 on line 23b.
Don't enter more than $1,200 on line 18b.
A component isn't specifically and primarily designed to Line 24a
! reduce the heat loss or gain of your home if it provides
CAUTION structural support or a finished surface (such as drywall or Enter the amounts you paid for a natural gas, propane, or oil furnace
siding) or its principal purpose is to serve any function unrelated to or hot water boilers that achieve the highest efficiency tier
the reduction of heat loss or gain. established by the CEE that is in effect as of the beginning of the
calendar year in which the property is placed in service. In addition,
oil furnaces and hot water boilers placed in service after December
31, 2022, and before January 1, 2027, must meet the 2021 Energy
Star efficiency criteria and be rated by the manufacturer for use with
Instructions for Form 5695 (2023) 5

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fuel blends at least 20% of the volume of which consists of an is qualified energy property. Don't attach the certification to your
eligible fuel. return. Keep it for your records.

Line 25a Line 31
Enter the amounts you paid for improvements or replacement of Complete the worksheet below to figure the amount to enter on
panelboards, subpanelboards, branch circuits, or feeders that were line 31.
installed in a manner consistent with the National Electric Code,
have a load capacity of at least 200 amps, and were installed with Energy Efficient Home Improvement Credit Limit
qualified energy efficiency improvements or qualified energy
property. Worksheet—Line 31

Don't enter more than $600 on line 25b. 1. Enter the amount from Form 1040,
1040-SR, or 1040-NR, line 18 . . 1.
Lines 26a Through 26c 2. Enter the total of the following
credit(s)/adjustment(s) if you are
Line 26a. To qualify for the credit, a home energy audit must have taking the credit(s)/adjustment(s) on
included an inspection of your main home located in the United
States and a written report prepared by a certified home energy your 2023 income tax return:
auditor. If you check the “No” box, you can't claim the home energy + Negative Form 8978 Adjustment,
audit credit. Schedule 3 (Form 1040),
Line 26b. Enter the amounts you paid for home energy audits in line 6l . . . . . . . . . . . . . . . . . . .
2023. + Foreign Tax Credit, Schedule 3
Don’t enter more than $150 on line 26c. (Form 1040), line 1 . . . . . . . . . .
+ Credit for Child or Dependent Care
Note. For home energy audits conducted between January 1, 2023, Expenses, Schedule 3 (Form 1040),
and December 31, 2023, the auditor is not required to be a certified line 2 . . . . . . . . . . . . . . . . . . . .
qualified home energy auditor.
+ Credit for the Elderly or the
Beginning January 1, 2024, home energy audits must be Disabled, Schedule R (Form 1040),
! performed by a Qualified Home Energy Auditor or under the line 22 . . . . . . . . . . . . . . . . . . .
CAUTION supervision of a Qualified Home Energy Auditor. The
Qualified Home Energy Auditor must be certified by a Qualified + Nonrefundable Education Credits,
Certification Program at the time of the home energy audit. Schedule 3 (Form 1040), line 3 . .
+ Retirement Savings Contributions
Credit, Schedule 3 (Form 1040),
Lines 29a Through 29e line 4 . . . . . . . . . . . . . . . . . . . .
Line 29a. Enter the amounts you paid for electric or natural gas Note. Enter the total of the
heat pumps that achieve the highest efficiency tier established by preceding credit(s)/adjustment(s),
the CEE that is in effect as of the beginning of the calendar year in only if allowed and taken on your
which the property is placed in service. 2023 income tax return. Not all
Line 29b. Enter the amounts you paid for electric or natural gas credits/adjustments are available for
heat pump water heaters that achieve the highest efficiency tier all years nor for all filers. See the
established by the CEE that is in effect as of the beginning of the instructions for your 2023 income
calendar year in which the property is placed in service. tax return. 2.
Line 29c. Enter the amounts you paid for biomass stoves and 3. Subtract line 2 from line 1. Also
biomass boilers that have a thermal efficiency rating of at least 75% enter this amount on Form 5695,
(measured by the higher heating value of the fuel). line 31. If zero or less, enter -0- on
Don’t enter more than $2,000 on line 29e. Form 5695, lines 31 and 32 . . . . 3.
Manufacturer’s certification. For purposes of taking the credit,
you can rely on a manufacturer’s certification in writing that a product

6 Instructions for Form 5695 (2023)

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