Massachusetts Rebates & Tax Credits
for Home Electrification

The Mass Save HEAT Loan is a 0% interest financing program offered through Massachusetts utilities (Eversource, National Grid, Unitil) for qualifying energy improvements. Eligible homeowners can borrow up to $25,000 over a 7-year term at 0% APR. The loan covers heat pump installations, electrical panel upgrades required for electrification, weatherization, insulation, and certain water-heating equipment. The heat pump or weatherization contractor typically applies on your behalf. Zolotas Electric coordinates with your installer and the utility so the loan paperwork is handled correctly.

The IRA Section 25C credit (officially the Energy Efficient Home Improvement Credit) is a federal tax credit of 30% of qualified electrification costs, capped at $2,000 per year. Qualifying work includes heat pumps, electrical panel upgrades done to enable electrification, insulation, and certain windows and doors. The credit is non-refundable — it can reduce your tax bill to zero but won't generate a refund — and the homeowner files IRS Form 5695 with the annual return. The 25C credit expires December 31, 2025 for most categories unless Congress extends it, so homeowners planning to claim should prioritize project completion this year.

The IRA Section 25D credit (officially the Residential Clean Energy Credit) is a federal tax credit of 30% of solar PV, battery storage (3 kWh+), geothermal heat pump, and certain fuel cell costs. Crucially, there is no annual dollar cap on the 25D credit — a $25,000 solar install yields a $7,500 federal credit. The credit is non-refundable but unused portions carry forward to future tax years. Most Mass Save customers claim 25D on the same Form 5695 used for 25C. The 25D credit is currently active through December 31, 2034.

Yes — Mass Save instant rebates and IRA federal tax credits are stackable on the same project. Mass Save takes the rebate off the installer's invoice at installation (no tax paperwork for you). The IRA 25C or 25D credit then applies against your federal income tax on the same year's return. Critically, Mass Save rebates do not reduce the cost basis used for the IRA credit — you can stack Mass Save + HEAT Loan + IRA credit on the same equipment. This is why the recommended order is: Mass Save instant rebate on the invoice → HEAT Loan 0% covers any remaining balance → IRA 25C/25D on Form 5695 the following April.

Mass Save instant heat pump rebates vary by household income, audit status, current heating fuel, and whether the system is ductless or ducted. For ductless mini-splits, typical rebates reach up to $2,750 per zone. For whole-home ducted air-source heat pumps (typically Mitsubishi Hyper-Heating or similar), Mass Save can cover up to $10,000 of the qualifying project cost. Households that have completed a Mass Save no-cost Home Energy Assessment and are replacing fossil-fuel heating (oil, propane, gas) generally receive the highest rebates. The HVAC installer applies for the Mass Save rebate — Zolotas Electric handles the electrical side (panel upgrade, dedicated circuit, disconnect) and the supporting documentation.

Zolotas Electric confirms and documents the electrical portion of your project (panel upgrade, dedicated 240V circuits, disconnects) to support any Mass Save rebate or IRA claim that includes electrical work. We sign off on the items where our work qualifies, provide the documentation Mass Save asks for, and coordinate with your heat pump installer or solar contractor. The HVAC installer files the bulk of the Mass Save rebate paperwork — we feed them the electrical scope and supporting docs. You, as the homeowner, file the IRA 25C and 25D credits on Form 5695 — we'll tell you exactly which costs qualify and what receipts to attach.

Yes — Mass Save covers both a heat pump installation and an electrical panel upgrade under a single 0% HEAT Loan when they're done as part of the same electrification project. The HVAC contractor is typically the lead applicant for the loan, with Zolotas Electric handling the electrical work scope. The panel upgrade portion may also bundle a separate Mass Save instant rebate of up to $2,500 for the electrical work, in addition to the 0% loan financing. This pairing (heat pump + panel upgrade, on one loan, with rebates stacked) is the most common configuration Zolotas Electric handles in Essex County.

All Essex County towns in Massachusetts are covered by Mass Save, with the administering utility varying by geography. Most of Salem, Beverly, Marblehead, Danvers, Gloucester, Hamilton, Ipswich, Essex, Manchester-by-the-Sea, Wenham, Rockport, Topsfield, and Boxford are served by Eversource. Peabody, Lynn, Saugus, Lynnfield, Swampscott, Wakefield, Melrose, North Reading, and parts of the Merrimack Valley are served by National Grid. A sliver of the western county border (parts of Andover, North Andover, Methuen) is served by Unitil. Zolotas Electric serves all of Essex County and helps homeowners confirm their utility during the free estimate — this matters for filing rebates correctly.