No, the federal tax credit does not apply to all windows. To qualify for the 25C tax credit (up to $600/year), windows must be installed in an existing primary residence and meet strict ENERGY STAR Most Efficient criteria. Regular Energy Star windows, new construction, or additions usually do not qualify.
The replacement windows, doors or skylights must be ENERGY STAR-certified products. You must have a copy of the Manufacturer's Certification Statement to qualify. More eligibility requirements can be found here.
To qualify for the federal energy tax credit (25C), exterior windows and skylights must be ENERGY STAR Most Efficient certified products, featuring low-E coatings, insulated glass (double/triple-pane), and specific low Solar Heat Gain Coefficient (SHGC) and U-Factor ratings, not just any window type (like double-hung or casement), and you need the manufacturer's certification statement and QMID. You claim 30% of costs up to $600 annually for these products, installed in your primary residence between 2023-2032, by filing IRS Form 5695.
Exterior doors that meet applicable Energy Star requirements. Credit is limited to $250 per door and $500 total. Exterior windows and skylights that meet Energy Star Most Efficient certification requirements. Credit is limited to $600 total.
The credit is 30% of the cost of qualifying windows and skylights, capped at $600 per year, within a broader $1,200 annual limit for most building-envelope improvements. Below we explain what qualifies, how much you can save, the documentation you need, and how to claim it.
If purchasing a window, door, or skylight off the shelf, look for the ENERGY STAR label for your climate zone next to the NFRC label on the glass.
Energy-efficient doors, windows and insulation
Exterior doors have a limit of $250 per door and a total limit of $500. Exterior windows and skylights have a $600 total limit. Insulation and air sealing materials or systems have no additional limit outside of the general $1,200 maximum.
In 2025, homeowners can claim 30% of the cost of their qualifying windows, up to a maximum of $600 per year. This applies to windows that meet ENERGY STAR qualifications for energy efficiency. So, if you spend $2,000 on new windows, you can claim $600 back as a credit on your federal taxes.
Energy-efficient home improvements
Under the Inflation Reduction Act, homeowners can claim a deduction of up to 30% of the cost of qualifying energy-efficient home improvements, including such energy-efficient home improvements as windows, insulation, heat pumps, and energy audits.
Replacing old single-paned windows with efficient, double- or triple-paned windows can reduce your electricity bill from 7% to 20% annually. The higher the energy efficiency, the higher your savings. Ideally, you want windows with a low U-Factor, an appropriate SHGC for your climate, and a high R-Value.
These Home Improvement Projects Are Tax Deductible
Not all windows qualify for tax credits. To be eligible, exterior windows and skylights must meet Energy Star criteria or similar energy efficiency standards. Energy Star certified products are tested and verified by the Environmental Protection Agency to ensure they meet or exceed energy efficiency requirements.
This tax credit is effective for products purchased and installed between January 1, 2023, and December 31, 2025.
Cons Of Composite Windows
ENERGY STAR Most Efficient windows qualify for the energy efficient home improvement credit. By further improving your home's envelope with new ENERGY STAR certified exterior doors and a heat pump water heater, you can claim: up to $600 (or 30% of the product cost) for upgrading your windows in one taxable year.
In 2025, average window replacement costs range from $700 to $1,500 per window, with specialty styles priced higher. Steel casement windows, awnings, and curtain wall windows offer top performance and premium looks but cost more. Frame material, window size, glazing, and local labor costs are the biggest price factors.
Difficulty opening or closing double glazed windows can disrupt everyday living and compromise your home's security and energy efficiency. The window mechanism or frame may malfunction for numerous causes, such as excessive heat, misalignment from improper window installation, or stiff or worn hardware.
A ballpark figure to install a double-glazed window for a 3-bed house will range between £4,000 to £16,000 (basic to high) for 8 to 10 windows. However, the average cost to replace a 3-bed house window in the UK is typically between £4,000 to £7,000.