As we kick off 2026, most Chicagoland homeowners are focused on staying warm. But there is a massive financial opportunity that often goes overlooked: The Energy Efficient Home Improvement Credit (Section 25C).

Under current federal guidelines, your exterior remodeling project isn't just an expense; it’s a tax saving strategy. If you’re planning to upgrade your windows, doors, or attic insulation this year, you could be eligible for thousands in direct tax credits.

Here is what you need to know to maximize your "return" on a Stan’s project this year.


1. The $1,200 Annual Credit (The "Sweet Spot")

The Inflation Reduction Act significantly expanded the Section 25C tax credit. In 2026, homeowners can claim a tax credit of up to 30% of the cost of certain energy efficient home improvements, with a total annual limit of $1,200.

  • Windows and Skylights: You can claim 30% of the cost, up to $600 per year.

  • Exterior Doors: You can claim 30% of the cost, up to $250 per door (with a max of $500 total per year).

  • Attic Insulation: This is the "hidden hero." Sealing and insulating your attic (especially if it is over 10 years old) qualifies for the 30% credit, often hitting the full $1,200 cap on its own.

2. Why "Energy Star 7.0" Matters in 2026

To qualify for these credits, the materials must meet strict "Energy Star" requirements. In 2026, the standards have reached Version 7.0 for the Northern Climate Zone (which includes all of Illinois).

  • At Stan’s, we specifically source windows and doors that meet or exceed these V7.0 standards.

  • The Stan's Advantage: We provide you with the "Manufacturer’s Certification Statement" for every eligible product we install, ensuring your tax filing is bulletproof.

3. The "Phase In" Strategy

Because the $1,200 credit resets every year, many of our smart homeowners in Naperville and Orland Park are using a "Phase In" strategy to maximize their returns:

  • Year 1: Replace the most drafty windows and upgrade attic insulation (Claim $1,200).

  • Year 2: Replace exterior doors and the remaining windows (Claim another $1,200).

4. Don't Forget the "Hidden" Energy ROI

Beyond the tax credit, the immediate ROI is in your monthly utility bill. A properly insulated home with 2026 spec windows can reduce heating and cooling costs by up to 20%. With local utility rates continuing to climb, those savings often pay for the entire project over the life of the product.


Is Your Project Eligible?

Tax laws are complicated, and not every "off the shelf" product qualifies for the 2026 credits. When you work with Stan’s, we help you select the specific materials that maximize both your energy savings and your tax returns.

Have any questions? Give us a call at (708) 448-4100.


Sources and Official Documentation

To ensure accuracy, this blog post is based on the following 2026 regulatory guidelines:

Disclaimer: While Stan’s Roofing and Siding provides energy efficient materials, we recommend consulting with a tax professional to determine your specific eligibility and how to file IRS Form 5695.