For purposes of section
38, in the case of an eligible contractor, the new energy efficient home credit for the taxable year is the applicable amount for each qualified new energy efficient home which is—
(A)constructed by the eligible contractor, and
(B)acquired by a person from such eligible contractor for use as a residence during the taxable year.
(2) Applicable amount
For purposes of paragraph (1), the applicable amount is an amount equal to—
(A)in the case of a dwelling unit described in paragraph (1) or (2) of subsection (c), $2,000, and
(B)in the case of a dwelling unit described in paragraph (3) of subsection (c), $1,000.
For purposes of this section—
(1) Eligible contractor
The term “eligible contractor” means—
(A)the person who constructed the qualified new energy efficient home, or
(B)in the case of a qualified new energy efficient home which is a manufactured home, the manufactured home producer of such home.
(2) Qualified new energy efficient home
The term “qualified new energy efficient home” means a dwelling unit—
(A)located in the United States,
(B)the construction of which is substantially completed after the date of the enactment of this section, and
(C)which meets the energy saving requirements of subsection (c).
The term “construction” includes substantial reconstruction and rehabilitation.
The term “acquire” includes purchase.
(c) Energy saving requirements
A dwelling unit meets the energy saving requirements of this subsection if such unit is—
(A)to have a level of annual heating and cooling energy consumption which is at least 50 percent below the annual level of heating and cooling energy consumption of a comparable dwelling unit—
(i)which is constructed in accordance with the standards of chapter 4 of the 2006 International Energy Conservation Code, as such Code (including supplements) is in effect on January 1, 2006, and
(ii)for which the heating and cooling equipment efficiencies correspond to the minimum allowed under the regulations established by the Department of Energy pursuant to the National Appliance Energy Conservation Act of 1987 and in effect at the time of completion of construction, and
(B)to have building envelope component improvements account for at least 1/5 of such 50 percent,
(2)a manufactured home which conforms to Federal Manufactured Home Construction and Safety Standards (part 3280 of title
24, Code of Federal Regulations) and which meets the requirements of paragraph (1), or
(3)a manufactured home which conforms to Federal Manufactured Home Construction and Safety Standards (part 3280 of title
24, Code of Federal Regulations) and which—
(A)meets the requirements of paragraph (1) applied by substituting “30 percent” for “50 percent” both places it appears therein and by substituting “1/3” for “1/5” in subparagraph (B) thereof, or
(B)meets the requirements established by the Administrator of the Environmental Protection Agency under the Energy Star Labeled Homes program.
(1) Method of certification
A certification described in subsection (c) shall be made in accordance with guidance prescribed by the Secretary, after consultation with the Secretary of Energy. Such guidance shall specify procedures and methods for calculating energy and cost savings.
Any certification described in subsection (c) shall be made in writing in a manner which specifies in readily verifiable fashion the energy efficient building envelope components and energy efficient heating or cooling equipment installed and their respective rated energy efficiency performance.
(e) Basis adjustment
For purposes of this subtitle, if a credit is allowed under this section in connection with any expenditure for any property, the increase in the basis of such property which would (but for this subsection) result from such expenditure shall be reduced by the amount of the credit so determined.
(f) Coordination with investment credit
For purposes of this section, expenditures taken into account under section
48(a) shall not be taken into account under this section.
This section shall not apply to any qualified new energy efficient home acquired after December 31, 2013.
The date of the enactment of this section, referred to in subsecs. (b)(2)(B) and (c)(1)(A)(i), is the date of enactment of Pub. L. 109–58, which was approved Aug. 8, 2005.
The National Appliance Energy Conservation Act of 1987, referred to in subsec. (c)(1)(A)(ii), is Pub. L. 100–12, Mar. 17, 1987, 101 Stat. 103. For complete classification of this Act to the Code, see Short Title of 1987 Amendment note set out under section
6201 of Title
42, The Public Health and Welfare, and Tables.
2010—Subsec. (g). Pub. L. 111–312substituted “December 31, 2011” for “December 31, 2009”.
2008—Subsec. (g). Pub. L. 110–343substituted “December 31, 2009” for “December 31, 2008”.
2007—Subsec. (c)(2), (3). Pub. L. 110–172substituted “part 3280” for “section
3280” in par. (2) and in introductory provisions of par. (3).
Pub. L. 111–312, title VII, § 703(b),Dec. 17, 2010, 124 Stat. 3311, provided that: “The amendment made by this section [amending this section] shall apply to homes acquired after December 31, 2009.”
Section applicable to qualified new energy efficient homes acquired after Dec. 31, 2005, in taxable years ending after such date, see section 1332(f) ofPub. L. 109–58, set out as an Effective Date of 2005 Amendments note under section
38 of this title.
The table below lists the classification updates, since Jan. 3, 2012, for this section. Updates to a broader range of sections may be found at the update page for containing chapter, title, etc.
The most recent Classification Table update that we have noticed was Tuesday, August 13, 2013
An empty table indicates that we see no relevant changes listed in the classification tables. If you suspect that our system may be missing something, please double-check with the Office of the Law Revision Counsel.