HB 113: ENERGY-EFFICIENT HOMES TAX CREDIT
An Act Relating To Taxation; Creating A One-time Short-term Refundable Tax Credit For Purchasers Of Eligible Energy-efficient Homes.
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HB 113
ENERGY-EFFICIENT HOMES TAX CREDIT
- Legislative URL:
- HB 113 on nmlegis.gov
- Emergency Clause:
- No
- Germane:
- N/A
- Location:
- HEENC
- Action:
- HPREF [3] HEENC/HWMC-HEENC [5] w/o rec-HWMC API.
- Issue(s):
- Energy
Related Legislators
- Bill Sponsor:
- Brian Egolf, Jr.
Related Documents
- Downloads:
-
Introduced
HEENC Committee Report
Fiscal Impact Report
Summary
This bill would create a one-time short-term refundable tax credit for purchasers of eligible energy-efficient homes.
The purpose of this Energy-Efficient Home Income Tax Credit is to encourage the construction of new owner-occupied energy-efficient residential dwellings and the purchase of foreclosed homes that are renovated to high energy efficiency standards.
The amount of the Energy-Efficient Home Income Tax Credit that may be claimed will be calculated based on the certification level achieved by the eligible energy-efficient home, as indicated on the following chart:
| Rating System Certification Level | Tax Credit |
| HERS index of 60 or less, but more than 30 | $4,000 |
| HERS index of 30 or less, but more than 0 | $6,000 |
| HERS index of 0 or less | $8,000 |
A certified HERS rater building performance institute building analyst or registered professional engineer may use Bestest EX software for purposes of determining eligibility for the energy-efficient home income tax credit for a taxpayer who has purchased a renovated foreclosed home; provided that the rating determined for the renovated foreclosed home indicates that the energy-efficiency increase
from the renovations are the following:
| Rating System Certification | Tax Credit |
| 40% or more energy reduction, but less than 70% energy reduction | $4,000 |
| 70% or more energy reduction, but less than 100% energy reduction | $6,000 |
| 100% energy reduction | $8,000 |
The bill defines an “eligible energy-efficient home” as an owner-occupied single-family residential dwelling:
- for which construction or renovation begins on or after July 1, 2015 but not after June 30, 2018;
- for which an energy-efficient home income tax credit has not been previously claimed;
- that has a home energy-rating system (HERS) rating of 60 or better;
- that is a purchased or custom-built home or a purchased foreclosed home that has been renovated; and
- that has been issued a certificate of occupancy.
An index value of HERS 60 means that a home has a 40 percent energy reduction below the 2004 International Conservation Code standard reference building design.
A benefit of this bill might be an increase in the number of energy-efficient homes in New Mexico and a corresponding decrease in homeowners’ energy costs and their dependence on energy generated by fossil fuels.