There are Tax Breaks for Insulation, But For a Limited Time Only!

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Upgrading your home’s insulation or sealing up energy-wasting air leaks? Right now, you could qualify for up to $1,200 in federal tax credits.

UPDATE: Time is running out. Congress passed a bill in July 2025 that ends the tax credit early, at the end of this year. That means you only have a few months to complete your upgrades and claim your credit.

At Evergreen Home Performance, we make it easy to not only improve your comfort and lower your energy bills, but also maximize the financial incentives available to you.

Evergreen Attic Insulation Team Getting Equipment Out Of The Truck

Evergreen team member unraveling a roll of climate control net fabric

How the Insulation Tax Credit Works

The insulation tax credit (formally known as the Energy Efficient Home Improvement Credit or 25C) covers 30% of the cost of qualifying home upgrades, up to a maximum of $1,200 for insulation and air sealing.

It’s available now for all upgrades completed by December 31, 2025.

You can combine this credit with other incentives like Efficiency Maine rebates to stack your savings even higher..

How to Claim the Insulation Tax Credit in Maine

A tax credit reduces the amount of taxes you owe when you file—they are a different kind of incentive than a rebate, where you receive a direct check or upfront discount.

Efficiency Maine and the IRS are both good resources for homeowners looking to take advantage of this tax credit:

For personalized guidance tailored to your specific circumstances, we recommend consulting with your tax professional. They can assist you in assessing your eligibility and accurately calculating the credit based on the scope of work and invoice provided by us.

Evergreen team member setting-up climate control net fabric in attic

Evergreen team member installing blown insulation in attic

Stack Your Incentives: How to Combine Tax Credits, Rebates, and Financing

This year (and this year only), you can combine your federal insulation tax credit with:

Up to $8,000 in Efficiency Maine rebates
Affordable financing with payments as low as $50/month

You could save as much as $9,200 in combined incentives in 2025—while building a more comfortable, healthier, and energy-efficient home for the future.

Work with a Maine Insulation Company That Knows How to Help You Save

Evergreen’s BPI-certified team has helped thousands of Mainers boost comfort, slash energy bills, and maximize available incentives. We’ve worked with homeowners from Portland to Rockland to make the cost of insulation upgrades more affordable. If you’re ready to save, we’re ready to help!