Utah’s HVAC industry is changing in 2026, so is your property ready?
If you’re considering an HVAC upgrade like a new furnace, heat pump, insulation, or a full heating & cooling system—timing couldn’t be more critical than it is right now.
Recent legislative changes under the One Big Beautiful Bill (OBBB) have cut or limited many of the energy-efficiency tax credits and rebates, and for Utah homeowners, this means acting now could save you thousands. And if you delay too long, and you could miss out entirely…
This is exactly why we’ve developed this guide to walk you through what exactly is changing, what current incentives are soon expiring, and how you can still qualify—if you move quickly!
What’s Changing Under The One Big Beautiful Bill
Signed into law in July 2025, the One Big Beautiful Bill (OBBB) includes major modifications to previously generous clean-energy and efficiency incentives.
Some of the key changes impacting HVAC and home-energy improvements include:
- The Energy Efficient Home Improvement Credit (IRS Section 25C), which has allowed homeowners to claim tax credits for insulation, HVAC system replacements, air sealing, windows/doors and “heating/cooling system upgrades”, is being eliminated as of December 31, 2025.
- Similarly, provisions for other energy-efficient upgrades are being phased out under the OBBB.
- For businesses and commercial or multifamily properties, tax deduction rules such as 179D (energy-efficient commercial building deduction) are also changing, which includes many credits expiring or losing eligibility after certain dates in 2026.
Because of these changes, homeowners in Utah need to move fast if they want to lock in the existing benefits!
What This Means For Utah Homeowners
All of us at Apex Clean Air understand just how confusing these legislative changes can be for home and business owners who simply want to benefit from cost-effective HVAC upgrades and services, so here’s a more in-depth glimpse into how the OBBB will start impacting specific services next year:
Heat Pump / HVAC Upgrades
One of the most significant impacts is the impending loss of tax credits related to upgrading or installing efficient heating and cooling systems (especially heat pumps).
For example, Utah homeowners have until the end of 2025 to file for up to $2,000 in credit for certain heat pump installations.
If you plan to replace or upgrade your furnace or HVAC system to a more efficient model, or switch to a heat pump, you’ll want the project completed before December 31, 2025 in order to qualify under many of the current credits.
General Energy-Efficiency Improvements
Beyond HVAC units themselves, other efficiency upgrades like insulation, air-sealing, windows or doors have also been part of the 25C credit.
Utah homeowners may still claim the Energy Efficient Home Improvement Credit for qualifying upgrades completed by the end of 2025.
Insulation improvements may qualify under “insulation tax credit” or “energy efficient home improvement” rules—but only if installed before 2026.
What Utah Homeowners Should Do
If you’re a Utah homeowner considering HVAC or energy upgrades, follow these steps to maximize your savings:
- Audit Your Needs Now: Evaluate your current HVAC system (age, efficiency), insulation quality, and whether you’re already looking at replacing windows, ducts, or a furnace / heat pump.
- Talk with an HVAC professional this fall: Contact the Apex team for an estimate on an energy-efficient replacement or upgrade and be sure to confirm that the model you choose qualifies under today’s efficiency standards and meets the upgrade timing criteria.
- Time Your Project Before Year-End: Schedule installation so that work is completed before December 31, 2025. This may require booking soon, partly because our contractors are likely to get busy as many homeowners rush to meet the deadline.
- Collect Documentation & Certify Eligibility: Make sure you receive invoices, model numbers, efficiency certifications, and any paperwork required by IRS forms (e.g. IRS Form 5695). Keep records to support your tax filing.
- Verify Local Offers & Rebates: Be sure to ask us about additional rebate programs in concert with federal credits. Ask about our special deals that complement the expiring tax credits.
- Prepare for Post-2025 Reality: If you’re unable to complete the project this year, ask about alternative financing or incentive options. Research whether Utah or your utility provider may launch new rebate programs or state-level compensation to fill gaps once the federal credits expire.
Why These Changes Matter For You & Your Home
Completing HVAC and energy-efficiency upgrades before the end of 2025 can dramatically reduce your out-of-pocket costs, improve your home comfort, increase energy savings through the winter months, and boost your property value.
Once key tax credits expire under the One Big Beautiful Bill, homeowners will pay more up-front for similar upgrades—which will subsequently cause the payback period on investment to lengthen significantly.
For Utah residents in cold months, the efficiency and reliability of your heating system makes a difference not only in comfort—but also in long-term energy bills and indoor air quality.
By acting now through planning, budgeting and installing before deadlines, you’ll safeguard your savings and take advantage of opportunities that may vanish soon!
Contact Apex Clean Air To Schedule An HVAC Upgrade For Your Utah Home!
The One Big Beautiful Bill may bring change, but Utah homeowners still have time to make smart, energy-efficient choices.
If your system is aging or you’ve been considering an upgrade, don’t wait until the incentives are gone.
Reach out to our licensed HVAC specialists online or give us a call at 801-820-0576 to lock in your rebates and ensure that your home is ready for a cleaner, more efficient future before the clock runs out!