The Inflation Reduction Act has renewed federal incentives for energy-efficient home improvements. For the 2025 tax year, homeowners can claim the Energy Efficient Home Improvement Credit (25C) to offset the cost of specific roofing materials.
This guide explains the 30% credit, the annual caps, and how to verify if your shingle or metal roof qualifies.
1. The “25C” Tax Credit Explained
Unlike a tax deduction (which lowers your taxable income), a tax credit reduces the tax you owe dollar-for-dollar.
The 2025 Rules
- Credit Amount: 30% of the cost of eligible materials.
- Annual Cap: $1,200 (This is an aggregate limit for all “building envelope” improvements, including windows and doors).
- Labor Excluded: The credit applies to the material cost only, not the installation labor.
2. Which Materials Qualify?
To qualify, roofing materials must meet specific “Cool Roof” standards designed to reflect solar energy and reduce cooling loads. Standard dark asphalt shingles typically do not qualify.
| Material Type | Eligibility Status | Requirement |
|---|---|---|
| Metal (Standing Seam) | High Probability | Must be coated with Energy Star certified pigments. |
| Asphalt Shingles | Specific Brands Only | Must contain cooling granules (usually Owens Corning Duration Cool, GAF Timberline CS, etc.). |
| Standard Shingles | Not Eligible | Basic architectural shingles do not meet solar reflectance standards. |
3. How to Verify & Claim
Do not rely on a contractor’s verbal promise. To survive an IRS audit, you need documentation.
- Download the Manufacturer Certification Statement: Every major brand (GAF, CertainTeed, Owens Corning) publishes a PDF listing exactly which of their products qualify for the current tax year.
- File IRS Form 5695: When filing your taxes, complete “Part II: Energy Efficient Home Improvement Credit.”
- Save Receipts: Keep your material invoice and the certification statement for 7 years.
Disclaimer: RoofingData.us provides labor and material market data, not tax advice. Tax codes change annually; always consult a CPA before filing.