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  • IRA Water Rebates

    • Give Yourself
    All the Credit
    Get All the Credit and Save Big with
    High Efficiency Products


    These products meet a stringent set of our company's internally defined sustainability standards

    Rheem Water Heater Products Grouped


    Give Yourself
    All the Credit
    Get All the Credit and Save Big
    with High Efficiency Products

    These products meet a stringent set of our company's internally defined sustainability standards

    Rheem Water Heater Products Grouped

    High Efficiency Water Heater Incentives

    Smart decisions about a home’s water heater can help homeowners live more comfortably, save energy and protect the planet—all at the same time. Our comprehensive suite of high efficiency products qualifies for ENERGY STAR 5.0® certification, federal and local incentive programs and residential 25C tax credits. In addition, Rheem® heat pump water heaters help builders earn 45L tax credits through new construction design flexibility and high efficiency ratings.


    The Inflation Reduction Act of 2022 (IRA) is a series of home energy programs featuring efficiency and electrification tax credits and rebates. Beginning in 2023, the expanded version of 25C, now called the Energy Efficient Home Improvement Tax Credit (under the Inflation Reduction Act of 2022), will provide up to $2,000 in tax credits for qualified high efficiency water heaters as well as credits for electrical upgrades. Unlike the existing program, the expanded 25C tax credit has generous annual limits (not lifetime limits), meaning that the same customer could receive the credit for qualified energy efficient upgrades annually. This expansion will extend the program out to 2032 (see Builder Incentives section for 45L tax credit details).

    2022 Tax Certificate
    2023 Tax Certificate
    Form 5695
    ENERGY STAR®


    Our comprehensive suite of high-efficiency products empowers you to drive a more sustainable future with zero tradeoffs in value and comfort. Our water heaters are designed to improve your home’s efficiency, achieve certifications such as ENERGY STAR® and qualify for tax credits and local rebates.

    Rebate Center
    Federal Incentives


    Rheem® heat pump water heaters exceed the domestic hot water equipment efficiency requirements for ENERGY STAR® New Construction and DOE Zero Energy Ready Home certification and helps builders qualify for a combined $5,000 in 45L builder tax credits.

    ENERGY STAR New Construction
    DOE Zero Energy Ready Home
    Builder 45L Tax Credit Brochure


    As states and local governments adopt strict carbon emissions reduction targets, contractors and plumbers will require a range of solutions to meet new building codes. We offer a selection of heat pump and condensing gas water heaters that help you meet building codes and efficiency standards without compromising your customers’ comfort. Our water heaters are designed to maximize HERS® building ratings, achieve certifications such as ENERGY STAR® and qualify for installer high efficiency incentive programs.

    Ask your local utility and state for available high efficiency water heater incentive programs in your area.

    More information about available homeowner tax credits and local rebates are available the Residential Incentive section above.

    Rebate Center
    Federal Incentives
    TECH Clean CA