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Ohio · Home Energy Tax Credit

Home Energy Tax Credit in Ohio (2026)

Credit for energy-efficient home improvements like insulation, windows, and HVAC. Ohio has a flat 2.75% income tax, so a Ohio filer's combined marginal rate on the next dollar at $62,262 of income is about 14.75% (12% federal + 2.75% OH).

2026 savings example for Ohio

Planning estimate for a single filer earning $62,262 (Ohio median household income in LevyIO's state dataset) who claims a $3,200 credit. Federal tax uses the 2026 IRS brackets after the $16,100 standard deduction; OH tax uses the state brackets in LevyIO's dataset and assumes the state follows the federal treatment.

Estimated total savings

$3,200

Federal savings

$3,200

$5,291$2,091 · 12% bracket

OH state savings

$0

Federal credit only; check for a state credit

Combined marginal rate

14.75%

Credits do not depend on the bracket

Statutory maximum for this item in LevyIO's dataset: $3,200.

Federal × Ohio marginal rates (2026, single)

Gross-income ranges include the federal standard deduction. The OH column is the state marginal rate at the midpoint of each range. A credit saves its face value regardless of bracket.

Federal bracketGross income (single)OH marginalCombinedPer $1,000
10%$16,100 - $28,5000%10%$1,000
12%$28,500 - $66,5002.75%14.75%$1,000
22%$66,500 - $121,8002.75%24.75%$1,000
24%$121,800 - $217,8752.75%26.75%$1,000
32%$217,875 - $272,3252.75%34.75%$1,000
35%$272,325 - $656,7002.75%37.75%$1,000
37%Over $656,7002.75%39.75%$1,000

Eligibility & forms

Homeowners who install energy-efficient improvements

  • Must be primary residence
  • Qualifying improvements only
  • Keep receipts

Federal forms: Form 5695

Ohio filing notes

The $26,050 zero-bracket benefits low earners. Check your city's income tax rate. Social Security is exempt. Consider municipal tax when choosing where to live.

Common mistakes: Claiming for rental properties; Missing manufacturer certifications.

Frequently asked questions

How much can the Home Energy Tax Credit save a Ohio taxpayer in 2026?

Credits reduce tax dollar-for-dollar. In LevyIO's example, a single filer with $62,262 of income (the Ohio median household income in our state dataset) and a $3,200 credit would cut 2026 federal tax from $5,291 to $2,091, a $3,200 saving. Whether Ohio offers a matching state credit depends on the OH return, so the estimate counts federal savings only.

What is the Ohio income tax rate for 2026?

Ohio has a flat 2.75% income tax. The OH standard deduction in LevyIO's dataset is $0 single / $0 married. First $26,050 tax-free. Then a flat 2.75%. Many cities levy 2-3% income tax.

Who qualifies for the Home Energy Tax Credit in Ohio?

Homeowners who install energy-efficient improvements. The federal rules are the same in every state; the requirements are: Must be primary residence; Qualifying improvements only; Keep receipts. Ohio filers should confirm on the OH return whether the state follows the federal treatment.

Which forms do I file to claim the Home Energy Tax Credit?

Federal: Form 5695. Ohio: check the Ohio Department of Taxation instructions for the matching state schedule. Common mistakes: Claiming for rental properties; Missing manufacturer certifications.

Sources

Reviewed 2026-09-17. Estimates are educational planning figures computed from the IRS 2026 inflation adjustments and LevyIO's state bracket dataset; they are not tax advice.