Can I Still Claim Window Replacement on My Taxes?

The federal window replacement tax credit ended for any windows placed in service after December 31, 2025. If your qualifying windows were installed on or before that date, you can still claim 30 percent of the product cost, up to $600, on the 2025 return you file in 2026.¹ For windows installed in 2026 or later, no federal tax credit is currently available.

Why New Installations No Longer Qualify

The Energy Efficient Home Improvement Credit under Section 25C of the Internal Revenue Code was the vehicle that covered residential windows. Public Law 119-21, signed on July 4, 2025 and commonly called the One Big Beautiful Bill, cut the credit short. It will not be allowed for any property placed in service after December 31, 2025.¹ The credit had previously been scheduled to run through 2032, and Congress has not enacted a replacement.

The separate Residential Clean Energy Property Credit under Section 25D remains available through 2034, but it covers solar panels, geothermal systems, wind turbines, and battery storage. It does not apply to windows, doors, or other building envelope components.²

What Qualified for a 2025 Installation

If your windows were placed in service on or before December 31, 2025, two conditions had to be met. The windows had to carry the Energy Star Most Efficient certification for the year of installation, and they had to be installed in an existing home that you owned and used as your primary residence in the United States.³ Standard Energy Star certification was not enough on its own; the product had to reach the higher Most Efficient tier for its class.⁴

Both replacement windows and new windows added where none existed before were eligible. Skylights were treated the same as exterior windows and shared the same annual cap.⁴

Several situations did not qualify:

Windows installed as part of new home construction.
Windows in rental properties, vacation homes, or other second homes. Only your principal residence counted.³
Windows that met basic Energy Star certification but fell short of the Most Efficient tier.

How Much the Credit Is Worth

The credit equals 30 percent of the cost of qualifying windows, capped at $600 for exterior windows and skylights combined in a single tax year.³ Spend $2,500 on windows and 30 percent is $750, but the $600 cap brings your credit down to $600.

Windows also sit inside a broader $1,200 annual cap that covers all building envelope improvements together, including exterior doors (limited to $250 per door and $500 total) and home energy audits (limited to $150). A separate $2,000 annual limit applies to qualifying heat pumps, heat pump water heaters, biomass stoves, and biomass boilers, on top of the $1,200 cap.⁴

The credit is non-refundable. It can reduce your tax bill to zero but cannot generate a refund on its own, and the statute has no carryforward, so any unused portion is lost.³ It can offset the Alternative Minimum Tax if you owe it.⁵

Which Costs Count

Only the cost of the window products themselves counts toward the 30 percent calculation. Labor and installation charges are explicitly excluded for windows, skylights, and doors.⁶ This matters because installation often runs $100 to $600 per window and none of that amount factors into the credit. Keep your receipts structured so that product cost is broken out from labor.

The labor exclusion applies only to building envelope items. For other Section 25C property such as heat pumps, central air conditioners, and water heaters, installation labor does count.⁴

Documents to Keep

You do not attach supporting documents to your return, but you should hold on to them in case of an IRS audit.⁷ Gather these before filing:

The Qualified Manufacturer Identification Number (QMID). For windows installed in 2025, you must enter the manufacturer’s four-character alphanumeric QMID on Form 5695. Without it, the IRS will not allow the credit. Your manufacturer or retailer supplies the code, and it often appears on the manufacturer’s certification statement.⁸
The Manufacturer’s Certification Statement confirming the product meets the Energy Star Most Efficient standard.
Purchase receipts and invoices that separate product cost from labor.
Energy Star and National Fenestration Rating Council labels from the window packaging or glass. The IRS recommends retaining these to show the performance data behind eligibility.⁷

These records may also be useful later for establishing your adjusted cost basis when you sell the home.⁷

How to Claim It on Your Return

Report the credit on IRS Form 5695, Residential Energy Credits. On Line 20a, enter the QMID and the amounts you paid for the four most expensive qualifying windows and skylights. If you installed more than four, list the remaining items and their QMIDs on Line 20b with an attached statement.⁸

The form applies the 30 percent calculation and enforces both the $600 window cap and the $1,200 aggregate cap through its worksheets. A credit limit worksheet on the form also compares your credit against your actual tax owed, since the credit cannot exceed your liability.

The final figure from Form 5695 moves to Schedule 3 of Form 1040 and then to the appropriate line on Form 1040 itself, reducing your total tax. All three are filed together, whether you use tax software or a paper return.⁸ The standard filing deadline for a 2025 return is April 15, 2026.⁹

1
Internal Revenue Service. FAQs for Modification of Sections 25C, 25D, 25E, 30C, 30D, 45L, 45W, and 179D Under Public Law 119-21
2
Internal Revenue Service. Home Energy Tax Credits
3
Office of the Law Revision Counsel. 26 USC 25C – Energy Efficient Home Improvement Credit
4
Internal Revenue Service. Energy Efficient Home Improvement Credit
5
Internal Revenue Service. Updates to Frequently Asked Questions About the Energy Efficient Home Improvement Credit and the Residential Clean Energy Property Credit
6
Internal Revenue Service. Energy Efficient Home Improvement Credit – Labor Costs
7
Internal Revenue Service. How to Claim an Energy Efficient Home Improvement Tax Credit – Exterior Doors, Windows, Skylights and Insulation Materials
8
Internal Revenue Service. Instructions for Form 5695 (2025)
9
Internal Revenue Service. IRS Announces First Day of 2026 Filing Season