THE INFLATION REDUCTION ACT   

INCENTIVES YOU MAY QUALIFY FOR:

ELECTRIC VEHICLE TAX CREDIT PROGRAM

• $7,500 nonrefundable tax credit for new EVs until 2032
• Up to a $4,000 tax credit for used EVs from 2023 to 2032*
• Transferable tax credit to dealerships starting in 2024 ..
• Credit amount may be used as an upfront discount or as a down payment

EV price limits (total cost cannot exceed the below amount)

• Sudan up to $55,000
• SUV, truck, or van up to $80,000
• Used cars up to $25,000
• To qualify your adjusted gross income (AGI) cannot be over

                             NEW CAR                                                                                    USED CARS

                               • Single taxpayers $150,000                                              • Single taxpayers $75,000
                               • Heads of household $225,000                                       • Heads of household $112,500                                                    • Joint filers $300,000                                                           • Joint filers $150,000

CLEAN ENERGY TAX CREDITS

• 30% of the total cost: complete system, installation, and additional fees
• Solar, wind, battery storage, solar water heaters qualify
• No price cap and carries over to future tax years
• Date: Projects completed from January 1st 2022 to 2032        

HOME EFFICIENCY IMPROVEMENT TAX CREDIT           

• Up to $1,200 per year for insulation and window improvements
• Up to $2,000 per year for appliances including AC units, boilers, and heaters*
•  $150 for home energy audits
•  Limited to a combined total of $3,200 per year until 2033
  • Example: claim $1,200 for insulation + $2,000 for central AC
  = $3,200 annual cap
• No lifetime limit
• Date: Completed projects from January 1st 2023 to 2032     

REBATE PROGRAM FOR HOME EFFICIENCY IMPROVEMENTS   

• The Indiana Office of Energy Development (OED) will manage the rebate programs
•  State applications due January 31st, 2025
•  Improvements must lower household energy use
•  Date: 2024/2025** to 2031
•  Home Efficiency Rebates
•  Home Electrification and Appliance Rebates
•  Includes: electric stove/cooktop/range/oven, heat pumps, and more
•  Only low- and moderate-income (LMI) households qualify
•  Building owners serving > 50% LMI qualify
•  Renters and multi-family homes qualify for both rebate programs
•  Cannot be combined with a tax credit for the same qualifying upgrade

                                                          
  Sources: NRDC and The White House and Department of Energy   

                      *    30% of total cost up to the listed price cap

                      ** These programs are scheduled to launch within the year                       
                               

WHY THE JUSTICE40 INITIATIVE

Communities of color, low-income and immigrant communities face disproportionate burdens of environmental pollution and related health risks in Indiana and nationwide. This inequity is the result of many factors: a history of residential segregation and discriminatory zoning, lower levels of political access and economic power, and market-driven land use and economic development policies that exacerbate the concentration of environmental hazards in disadvantaged communities, while distributing their benefits elsewhere. Combined with the absence of meaningful economic and political opportunities, low-income communities and communities of color encounter many barriers to health and sustainability not faced by more affluent communities.

THEREFORE, IECE-J40,  will sound the alarm of opportunities and thrive to bridge the gap and connect  frontline communities, especially the Black community to the Clean Energy Economy, advancing clean energy efficiency, reducing Greenhouse Gas Emissions, and support our Communities Transformation and Livability statewide.