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Energy Efficient Home Credit (45L) in New York 2026

Calculate your energy efficient home credit (45l) tax savings in New York. With New York's 10.9% top state tax rate, your combined savings are higher.

New York Tax Overview

State Income Tax
10.9%
progressive
Sales Tax
4%
avg combined: 8.52%
Property Tax Rate
1.62%
Median Income
$74,314

Top rate 10.9%. NYC adds 3.078-3.876%. Combined up to 14.776%. Estate tax 'cliff' at $6.94M.

New York Income Tax Brackets (Single)

4%
$0 - $8,500
4.5%
$8,500 - $11,700
5.25%
$11,700 - $13,900
5.5%
$13,900 - $80,650
Your bracket
6%
$80,650 - $215,400
6.85%
$215,400 - $1,077,550
9.65%
$1,077,550 - $5,000,000
10.3%
$5,000,000 - $25,000,000
10.9%
$25,000,000 +
$5,000
Est. Total Savings
$5,000
Max Deduction
Tax Credit
Deduction Type
27.5%
Combined Tax Rate

Energy Efficient Home Credit (45L) Savings Calculator for New York

$
$

Federal Savings

$5,000

22% bracket

New York State

$0

5.5% rate

Total Savings

$5,000

27.5% combined

Tax credits reduce your tax bill dollar-for-dollar, regardless of your tax bracket.

Savings by Tax Bracket in New York

10%
$5,000
12%
$5,000
22%
$5,000
24%
$5,000
32%
$5,000
35%
$5,000
37%
$5,000

Includes 5.5% New York state tax on top of federal savings.

Eligibility Requirements

Builders or developers of new energy-efficient homes

  • 1$2,500 for ENERGY STAR certified homes
  • 2$5,000 for DOE Zero Energy Ready homes
  • 3Must meet prevailing wage requirements for full credit

New York residents should verify that this deduction is also recognized on their state tax return for additional savings of up to 10.9%.

Common Mistakes to Avoid

  • !Not obtaining required certifications before claiming
  • !Missing prevailing wage requirements
  • !Failing to meet the 50% energy savings threshold
  • !Forgetting to claim the deduction on your New York state return (missing up to 10.9% additional savings)

New York Filing Tips

NYC residents face the highest combined rates nationally. The estate tax 'cliff' means losing the entire exemption if your estate exceeds 105% of the threshold. NY aggressively audits departing residents.

Required Tax Forms

Form 8908Form 3800

File these forms with your federal tax return to claim the energy efficient home credit (45l). New York may require additional state-specific forms.

Other Tax Deductions in New York

Mortgage Interest Deduction

Housing

~$4,375
est. savings

Property Tax Deduction

Housing

~$2,750
est. savings

Home Office Deduction

Housing

~$1,500
est. savings

Home Energy Tax Credit

Housing

~$1,800
est. savings

Residential Solar Tax Credit

Housing

~$7,500
est. savings

Military Moving Expenses

Housing

~$5,000
est. savings

PMI Premium Deduction

Housing

~$1,375
est. savings

Mortgage Points Deduction

Housing

~$2,500
est. savings

Energy Efficient Home Credit (45L) in Neighboring States

Connecticut

6.99% top rate (progressive)

~$2,500
-2,500 vs New York

New Jersey

10.75% top rate (progressive)

~$2,500
-2,500 vs New York

Pennsylvania

3.07% top rate (flat)

~$2,500
-2,500 vs New York

Vermont

8.75% top rate (progressive)

~$2,500
-2,500 vs New York

Massachusetts

5% top rate (flat)

~$2,500
-2,500 vs New York

Tax Calculators for New York Cities

New York CityNew YorkOyster BayBuffaloNorth HempsteadBabylonYonkersRochesterHuntingtonSyracuse

Calculate Your Full Tax Savings in New York

Use our free tax calculators to optimize your entire tax return for New York.

Income Tax CalculatorNew York Income TaxFull Energy Efficient Home Credit (45L) Guide

Frequently Asked Questions

How much can I save with the Energy Efficient Home Credit (45L) in New York?

In New York, the energy efficient home credit (45l) can save you an estimated $5,000 per year on a $5,000 deduction. This includes $5,000 in federal tax savings and $0 in New York state tax savings at the 5.5% marginal rate. The national average savings is $2,500/year.

What is the New York state income tax rate?

New York has a progressive income tax system with a top rate of 10.9%. Top rate 10.9%. NYC adds 3.078-3.876%. Combined up to 14.776%. Estate tax 'cliff' at $6.94M.

Who qualifies for the Energy Efficient Home Credit (45L) in New York?

Builders or developers of new energy-efficient homes. The eligibility requirements are the same whether you live in New York or another state, as this is a federal tax credit. However, your total savings will vary based on New York's 10.9% top state tax rate.

What tax forms do I need to claim the Energy Efficient Home Credit (45L) in New York?

To claim the energy efficient home credit (45l), you need to file Form 8908 and Form 3800 with your federal return. New York residents should also check if the state allows this deduction on their state return for additional savings of up to 10.9%. Filing status affects your deduction limits and tax bracket.

Is the Energy Efficient Home Credit (45L) better in New York than in states without income tax?

Yes, New York residents benefit more because the state's 10.9% top income tax rate means the deduction reduces both your federal AND state tax liability. In states with no income tax (like Texas, Florida, or Nevada), this deduction only reduces federal taxes. Your combined rate of 27.5% means more savings per dollar deducted.

What is the standard deduction in New York for 2026?

New York's standard deduction is $8,000 for single filers and $16,050 for married filing jointly. NYC residents face the highest combined rates nationally. The estate tax 'cliff' means losing the entire exemption if your estate exceeds 105% of the threshold. NY aggressively audits departing residents.

Related Calculators

Mortgage Interest Deduction in New York

Avg savings: $3,500/year

Property Tax Deduction in New York

Avg savings: $2,200/year

Home Office Deduction in New York

Avg savings: $1,200/year

Home Energy Tax Credit in New York

Avg savings: $1,800/year

Residential Solar Tax Credit in New York

Avg savings: $7,500/year

Military Moving Expenses in New York

Avg savings: $4,000/year