Calvetti Ferguson – Find Out If You Qualify For Section 179D Tax Deduction

The Section 179D tax deduction is a compelling federal tax incentive available to Texas companies designing and constructing energy-efficient systems in commercial buildings. Specifically, Section 179D considers work performed on interior lighting systems, heating, cooling, ventilation (HVAC) and hot water systems, and building envelope systems.  

A tax deduction of up to $1.80 per square foot is available for the installation of these systems that result in 50% or greater energy savings as compared to a baseline standard. There is the eligibility to claim a $0.60 per square foot deduction for upgrades that result in a lower percentage of energy savings.

For properties completed after 2020, inflation adjustments are made which increases the value of this powerful incentive.  Thanks to the Consolidation Appropriations Act passed in 2020, Section 179D legislation has been made permanent.

Claiming the Deduction

Our firm has significant experience working with Texas companies across several industries to claim this lucrative tax savings opportunity. Calvetti Ferguson team members have the engineering and accounting expertise to conduct the required quantitative and qualitative assessments, provide certifications, and prepare the necessary documents for submission to the IRS. The result is a turnkey process that can result in significant federal tax savings.

Ready to find out if you qualify? Complete our contact form below and one of our tax experts will be in touch shortly.