As the push for energy efficiency continues to shape the future of building design and construction, incentives like the 179D tax deduction have become increasingly important for building owners, designers, and engineers. But what exactly is the 179D deduction, and why is energy modeling so critical in this context? Let’s break it down.
What is the 179D Tax Deduction?The 179D tax deduction, also known as the Energy Efficient Commercial Buildings Deduction, is a federal incentive designed to encourage energy-efficient construction and retrofits in commercial buildings. Initially introduced as part of the Energy Policy Act of 2005, this deduction allows building owners or designers to deduct a portion of the costs...