Income Tax Subtraction for Energy-Efficient Residences (Arizona)

Summary

Last modified on February 12, 2015.

Financial Incentive Program

Place	Arizona
Name	Income Tax Subtraction for Energy-Efficient Residences
Incentive Type	Personal Deduction
Applicable Sector	Residential, Construction, Installer/Contractor
Eligible Technologies	Comprehensive Measures/Whole Building
Active Incentive	No
Implementing Sector	State/Territory
Energy Category	Energy Efficiency Incentive Programs
Amount	5% of sales price excluding commissions, taxes, interest, points, and other brokerage, finance and escrow charges
Start Date	2001-12-31
Expiration Date	2010-12-31
Maximum Incentive	5,000
Program Administrator	Arizona Department of Revenue
Website	http://www.azcommerce.com/Energy/Energy-Related+Incentives.htm
References	DSIRE

Summary

This incentive is not applicable to homes constructed after December 31, 2010.

Arizona provides an individual income tax subtraction to taxpayers who sell one or more energy efficient single family residences, condominiums or town houses. The credit may be claimed in the year that the house is sold. It is equal to 5% of the sales price excluding commissions, taxes, interest, points, and other brokerage, finance and escrow charges and cannot exceed $5,000. Energy efficient residences include new single family-residences, condominiums, or town houses that exceed the 1995 Model Energy Code Threshold by at least 50% (90 points) as determined by an approved rating program. The subtraction is valid for taxable years beginning after December 31, 2001 and ending before December 31, 2010.

The taxpayer may elect to transfer a subtraction under this section to the purchaser of the residence or to the financial institution that secures a mortgage or deed of trust on the residence. To complete the transfer, the taxpayer must prepare a written statement that the taxpayer has elected not to claim the subtraction and that the purchaser or financial institution may claim the subtraction

Instructions for receiving the subtraction can be found in the instructions for Form 140, available under “Forms and Instructions” at www.revenue.state.az.us.

Authorities (Please contact the if there are any file problems.)

Authority 1:	A.R.S. § 43-1031
Date Effective	2001-12-31
Expiration Date	2010-12-31

Incentive Contact

Contact Name	Tax Assistance
Department	Arizona Department of Revenue
Address	1600 W. Monroe
Place	Phoenix, Arizona
Zip/Postal Code	85007-2650
Phone	(602) 255-3381
Phone 2	(800) 352-4090
Website	http://www.revenue.state.az.us/

• Incentive and policy data are reviewed and approved by the N.C. Solar Center's DSIRE project staff.