Federal
25C — Energy Efficient Home Improvement Credit →
Annual cap is $1,200 most categories, $2,000 for heat pumps / HPWH / biomass. Resets each tax year — strategic to split projects across calendar years.
Equipment category · 6 eligible programs
Air-source or ductless heat pump installation — the highest-rebate-eligibility category in the Pacific Northwest by a wide margin.
Why it matters
Heat pumps are the centerpiece of WA's residential electrification push. They replace furnaces (gas → electric) and AC units (efficient cooling + heating in one unit) at typical PNW outdoor temperatures. Federal + state + utility programs all stack favorably here.
Typical install scope
Outdoor compressor unit + indoor air-handler / cassette / ducted distribution. Adds dedicated 240V circuit. Often paired with electrical panel upgrade for older homes still on 100A service.
Pacific Northwest context
PNW climate is ideal for air-source heat pumps — winters rarely drop below the equipment's effective temperature range. Cold-climate variants (CCH-rated) are recommended for higher-elevation or east-of-Cascades installs but unnecessary for most Puget Sound homes.
Install notes
Look for HSPF2 ≥ 7.5 and SEER2 ≥ 15.2 to qualify for federal 25C tier. Utility rebate tiers go higher. Get the AHRI certificate from your installer — it's the eligibility document for every rebate program.
Eligible programs (6)
Stack rules apply — see each program for specifics. The calculator on the home page sorts out which combinations work for your income tier and utility.
Federal
Annual cap is $1,200 most categories, $2,000 for heat pumps / HPWH / biomass. Resets each tax year — strategic to split projects across calendar years.
Federal
Each state administers HEEHRA differently. WA's implementation launched 2025; check status before assuming current availability — funding can run out per program-year.
Utility
PSE separates electric and gas incentives. If converting from gas to heat pump, you may unlock both gas-side (decommission) and electric-side (install) rebates. Check the contractor finder for PSE Trade Allies.
Utility
Some Tacoma Power rebates have income tiers — moderate-income homeowners get higher rebate amounts. Cross-check with HEEHRA stacking eligibility.
Utility
SnoPUD's PowerHaul Heat Pump program has specific equipment-tier requirements (HSPF / SEER thresholds). Match your spec sheet to the program tier before purchase.
Utility
Seattle's Building Performance Standards and electrification mandates can stack with SCL rebates for some property types. Check both program tracks before scoping.
Other rebate categories
Disclaimer
Rebate programs change frequently. This page is current as of 2026 but should be verified against each program's official source before any purchasing decision. Eligibility, dollar amounts, and equipment-tier requirements all shift quarterly. Not legal or tax advice.