Protect New Mexico

Your source for environmental information at the NM legislature

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.

LoadingAdd to My Bills

MILD 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):

Related Legislators

Bill Sponsor:

Related Documents

Downloads:
Introduced
HEENC Committee Report
Fiscal Impact Report

Related Events

Upcoming:
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.