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Davids Highlights Federal Tax Credits to Lower Energy Bills for Kansas Families

September 4, 2024

Today, Representative Sharice Davids visited a family in Kansas City, KS to see firsthand how new federal tax credits are helping Kansans lower their utility bills. Kansans who make qualified energy-efficient improvements to their homes may qualify for certain tax credits, which have already saved 3.4 million American families more than $8 billion. These home energy efficiency savings were created by the Inflation Reduction Act, which Davids was the only member of Kansas’ congressional delegation to support.

 

"These tax breaks, which I proudly supported in Congress, are making a real difference for Kansas families by reducing utility costs and encouraging energy-efficient home improvements,” said Davids. “Families like Gayle and Anthony's are already seeing the benefits, with lower bills and more sustainable homes. I encourage everyone to explore these opportunities. They provide meaningful savings that can help ease the financial burden on hardworking Kansans and can cut pollution to protect our health at the same time."

 

"We installed solar panels in 2021 and knew that eventually we wanted to make our home more energy efficient to make the most out of that investment,” said Gayle Bergman and Anthony Null, Kansas City, KS residents. “Thanks to Rep. Davids' Inflation Reduction Act, we received a rebate after having an energy audit and adding insulation last year. This sets us up for our next step: going all-electric by replacing our furnace with a heat pump and upgrading to an electric water heater. We're grateful for Rep. Davids' support, which not only helps us get money back when we file our taxes but also helps us save on our energy bills every month."

 

Gayle Bergman and Anthony Null, the family Davids visited today, spent $949 on a home energy audit and the installation of energy-efficient insulation in their basement. They then received a tax credit of $285 when filing their annual taxes. They are also seeing savings on their monthly utility bills.

 

The Inflation Reduction Act extended and expanded these tax credits that help households invest in residential clean energy such as solar panels, as well as home energy efficiency. Specific energy-efficiency improvements eligible for tax credits include:

  • Weatherization Projects: 30 percent tax credit, capped at:
    • $1,200 per year for insulation and air sealing
    • $250 per year per energy-efficient door (max $500)
    • $600 per year for energy-efficient windows
    • $150 per year for home energy audits
  • Heat Pumps: 30 percent tax credit, capped at $2,000, for heat pump HVAC systems or water heaters
  • Battery Storage: 30 percent tax credit with no cap
  • Geothermal Heating: 30 percent tax credit with no cap
  • Rooftop Solar: 30 percent tax credit with no cap, plus an additional 30 percent tax credit for a new electrical panel if installed with solar.

 

Davids, who was raised by a single mother and is still paying off student loan debt, has worked diligently to lower costs for hardworking Kansans. She helped pass a law that caps the cost of insulin at $35 a month for seniors and finally lets Medicare negotiate for lower prescription drug prices, saving 74,000 Kansans on Medicare up to 79 percent on certain medicines. 


Davids voted to fix our
supply chains and pushed for lower grocery costs by reducing our country’s dependence on foreign oil and eliminating corporate price gouging. She also successfully pushed the IRS to give small business owners a tax break on mileage expenses for their businesses and introduced bipartisan legislation to help Kansas families access quality and affordable child care.