Roof Tax Credits and Rebates for Scottsdale Homeowners: What You Need to Know

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Here’s something most homeowners miss: Replacing your roof in Scottsdale might come with hidden savings — not just from energy efficiency, but from actual tax credits and rebates. Whether you’re upgrading materials, adding solar, or improving insulation, a portion of your project may qualify for incentives.

In this guide: We’ll cover the most common roof-related tax credits and rebate programs for 2025, how to know if your Scottsdale home qualifies, and what steps to take before you start your project.

Local insight: Many of our Scottsdale customers don’t realize that even simple improvements — like ENERGY STAR®-rated shingles or cool-roof coatings — can earn federal or utility-based credits. If you plan smart, your roof could pay you back in more ways than one.

1. Federal Tax Credits for Energy-Efficient Roofs (2025 Update)

The federal government currently offers a 30% tax credit under the Inflation Reduction Act for certain energy-efficient home improvements. While most of the attention goes to solar and HVAC, qualified “cool roofs” also count. That means reflective roofing materials or coatings designed to reduce heat absorption may be eligible for a credit of up to $1,200 per year.

Tip: To qualify, the roofing product must be certified by ENERGY STAR® or listed under the federal Clean Energy Credit guidelines. Keep all manufacturer documentation and receipts for your tax filing.

2. Solar Roofing and Panel Incentives

If you’re considering solar panels or a solar-integrated roof, the federal Residential Clean Energy Credit lets you claim 30% of installation costs with no dollar limit through 2032. Arizona also offers additional state-level incentives for solar installations.

  • 30% federal tax credit (no cap) through 2032
  • Up to $1,000 Arizona state tax credit (one-time claim)
  • Potential SRP and APS utility rebates for solar equipment

3. Utility Rebates for Cool Roofs and Energy Efficiency

Both SRP (Salt River Project) and APS (Arizona Public Service) offer rebates for energy-efficient home upgrades that lower peak demand. While these programs change frequently, homeowners installing reflective coatings, foam roofs, or upgraded attic insulation may qualify for partial cash rebates.

4. Local and Manufacturer Rebates

Some roofing manufacturers and distributors offer limited-time rebates on specific materials, especially ENERGY STAR®-rated shingles or coatings. Scottsdale homeowners should always ask their roofing contractor to check for current promotions — these change seasonally and can add up to hundreds in savings.

5. How to Claim Roof Tax Credits

To claim federal tax credits, file IRS Form 5695 with your annual return. Attach manufacturer certifications and receipts that clearly identify qualifying materials. For utility rebates, submit documentation directly to your provider — usually within 60–90 days of project completion.

6. What Doesn’t Qualify

Unfortunately, standard roof replacements that don’t include energy-efficient materials or solar upgrades generally don’t qualify for tax credits. You’ll still benefit from improved insulation and lower utility bills, but the government won’t subsidize cosmetic or routine replacements.

7. Combine Savings Where Possible

You can often combine multiple programs — for example, pairing a federal credit with a local SRP rebate. Just make sure your contractor installs certified materials and provides itemized receipts showing brand, model, and product type.

8. Plan Ahead for Next Year’s Taxes

If your roof replacement happens late in the year, keep copies of all documentation so you can claim the credit next tax season. Talk to your accountant or tax preparer early to confirm eligibility and deadlines.

Final Thoughts

Bottom line: Smart roofing choices can save you money long after installation. Between tax credits, rebates, and lower energy bills, a roof upgrade in Scottsdale can pay dividends — especially if you plan it with rebates in mind.

Need help choosing qualifying materials? Our team at Sky Shield Roofing Company stays current on all Arizona and federal programs. Use our Instant Quote tool or schedule a consultation, and we’ll help you find the best way to save. For more homeowner tips, check out our Scottsdale Roofing FAQs.