The Oregon legislature has passed House Bill 3672, which changes the Oregon Department of Energy’s tax credit programs. The bill is awaiting the Governor’s signature.
The RETC program is extended by HB 3672 to January 1, 2018, except for the alternative fuel vehicle credit (including electric vehicles) which retains its existing sunset of January 1, 2012. Amendments to the program are effective beginning January 1, 2012.
HB 3672 eliminates some appliances such as dishwashers, clothes washers, refrigerators, plus air conditioners and boilers.
Premium-efficiency dishwashers, clothes washers, and refrigerators are eligible for a tax credit ranging from $60 to $180. As a convenience, we provide lists of current tax credit eligible models (see links at right), but these lists may not yet include the newest models. Any model which meets our criteria will be approved, whether it appears on the list or not.
(See qualifying appliance lists in right-hand column.) We update these lists as qualifying appliances come on the market.
Please note that the appliance must be new and not previously used to qualify for a tax credit.
The tax credit is based on estimated savings above standard models. Important: The tax credit is the amount noted on the list of qualifying appliances or 25 percent of the net purchase price of the appliance, whichever is less. Please refer to qualifying appliance lists in the right-hand column to ensure your appliance is eligible for a tax credit.
Please note:
Not all Energy Star® appliances meet the Oregon tax credit eligibility requirements. Energy Star® is a federal program. Oregon requires that appliances exceed federal standards by specific levels to qualify for an Oregon tax credit.
To qualify for a tax credit, you must have an Oregon income tax liability. If you are an Oregon resident and do not have an Oregon income tax liability, you may choose to transfer your tax credit to an Oregon resident who does. This is done by checking the Pass-through Option section on the application form. More information is on the application form.
The appliance must be located in an Oregon dwelling that is your primary or secondary residence to qualify for a tax credit. Motor homes or recreational vehicles do not qualify as dwellings.
To receive your tax credit certification by April 15, please submit your tax credit application to the Oregon Department of Energy by March 15 of the year following your purchase. You may still apply for a tax credit after March 15, but may have to amend your tax filings to claim your credit.
Unused tax credit amounts may be carried forward up to five years.
Please read the instructions before completing the appliance application form.
Many Oregon utilities also offer their own incentives for residents who purchase premium efficiency appliances. Click here for a list of utility incentives for purchases.
Refrigerators qualifying for a Residential Energy Tax Credit must be rated to consume at least 30 percent less energy than the minimum federal government standard. The tax credit is 25 percent of the net purchase price of the eligible appliance up to the maximum amount listed for each model. Refrigerators are categorized into four tax credit tiers depending on their type.
The Oregon tax credit minimum qualifying Modified Energy Factor (MEF) is 2.2 ft3/kWh/cycle. Oregon´s maximum Water Factor (WF) requirement is 4.5 gal/ ft3/cycle. The federal Energy Star program has no Water Factor maximums. Therefore, it remains possible that some Energy Star models may not qualify for tax credits in Oregon.
As of January 1, 2011, dishwashers qualifying for an Oregon Residential Energy Tax Credit must have an energy factor of 0.75 cycles/kWh or higher.
Special note for dishwashers and clothes washers
In the past, manufacturers have occasionally lowered the energy performance of a unit without changing the model number. When we identify this situation, we will declare the model ineligible for the tax credit for one year, at which time the maufacturer may request reinstatement by demonstrating that non-qualifying models are no longer available.
