An electrical power upgrade increases your home’s power capacity and better equips it for the electrical needs of modern appliances. You know it’s one of the smartest moves you can make for your home, but you may wonder if your electrical panel installation is covered by tax credits or rebates. We’re here to help you gain some clarity around the subject.
While the federal Energy Efficient Home Improvement Credit program ended December 31, 2025, there may be some circumstances where this tax credit can still be applied to your electrical panel upgrade — depending on when you had this work done. Washington homeowners may also have access to state and local programs that can help cover qualifying electrical upgrades. One thing to note: Your eligibility varies depending on when the work was completed, what equipment you’re installing, where you live, and whether the panel upgrade is part of a larger electrification project.
Here’s what to know about the federal tax credit and some of the Washington programs worth checking before you plan an electrical panel upgrade.
Is There Still a Federal Tax Credit for Electrical Panel Upgrades?
The federal Energy Efficient Home Improvement tax credit — which incentivized homeowners to bring outdated electrical equipment up to current efficiency standards — ended on December 31, 2025. That said, if you made the electrical panel upgrades during 2025, you might still be able to claim the credit. However, any electrical panel upgrades completed in 2026 or afterward aren’t eligible for the federal credit.
If you think the electrical panel upgrades you had done in 2025 might qualify, here are a few other things to know:
- The credit applied to specific electrical components, such as feeders, branch circuits, and sub-panels.
- The main electrical panel boards had to meet certain technical standards.
- The upgrade also had to be made in tandem with another qualified upgrade, like installing a heat pump for HVAC or water heater or an electrical vehicle charger.
While homeowners could get a 30% tax credit, the entire credit was limited to $3,200 per year, and electrical panels were subject to a $600 limit.
What Are Some Other Rebates and Incentives to Check Before an Electrical Panel Upgrade?
Although the federal tax credit has expired, homeowners in Washington state have other opportunities to reduce the cost of qualifying electrical upgrades. Some programs are designed specifically to support home electrical projects, while others are limited by income, location, or the type of equipment being installed.
Home Electrification and Appliance Rebates
Washington State’s Home Electrification and Appliance Rebates (HEAR) program is state-funded and administered locally by county governments and accredited local organizations. Access to the HEAR program is available to low- and moderate-income households, renters, homeowners, single- and multi-family households, small businesses/nonprofits, and qualifying adult family homes. The program generally allows rebates for:
- Electrical panel upgrades
- Electrical wiring upgrades
- Heat-pumps
- Heat-pump water heaters
- Induction cooking equipment
- Heat-pump dryers
You should also be aware that upgrades must be combined as part of installing new qualifying electric equipment, such as an energy-efficient heat-pump HVAC or EV charger. So, while you may want to replace an aging standalone electrical panel, that work may not be eligible for a HEAR program rebate.
King County Energize Program
The King County Energize program provides low- or no-cost heat pumps and other upgrades to low-income households. However, electrical panel upgrades may only be covered when they’re necessary to support another qualifying improvement. If you’re considering a heat pump or another electrification project, it’s worth checking the program’s current requirements before scheduling electrical work.
Seattle City Light Program
Seattle City Light offers a variety of rebates and incentives for energy-efficient equipment and electrification projects, including heat pumps and heat-pump water heaters. Some programs may also help with electrical work associated with qualifying electrification projects.
Seattle’s HomeWise and Clean Heat Programs
Seattle’s HomeWise and Clean Heat programs provide assistance to qualifying households for certain home improvements and heating conversions.
The HomeWise program is designed to help homeowners lower their utility bills while improving indoor health and safety by providing free energy efficiency improvements to qualifying households. In addition to weatherization efforts, HomeWise also features no-interest home repair loans and grant programs to assist eligible homeowners in fixing urgent structural, electrical, plumbing, or roof issues.
Meanwhile, the Clean Heat program can provide incentives for qualifying oil-to-electric heat pump conversions, while additional assistance may be available to homeowners who meet income requirements.
Plan Your Electrical Panel Upgrade With Confidence
Making electrical panel upgrades can be a significant and highly beneficial investment for your home. And there are ways to alleviate some of the costs associated with this work, depending on factors like your income and how this work fits within other related home projects.
While the federal Energy Efficient Home Improvement Credit is no longer available for new projects, Washington homeowners may still have access to state and local rebates and incentives, particularly when a panel upgrade is necessary to support a qualifying electrification project.
Understanding how these projects might fit together can be a challenge. Evaluating your home’s electrical capacity before committing to the time and expense of an upgrade also isn’t an easy task. Mirsky Electric is here to help make it easier.
We’re committed to making every project as straightforward as possible: Our licensed electricians can assess your existing panel, identify the electrical requirements of your planned improvements, and recommend a safe and practical solution. We’re even able to handle permitting when it’s required. Schedule your free consultation today.
