179D Certification Case Study: Church HVAC Upgrade Yields Major Tax Deduction

179D Certification Case Study: Church HVAC Upgrade Yields Major Tax Deduction

a Building watch from the bottom up

Introduction Walker Reid Strategies (WRS) recently partnered with an Energy Services Company (ESCO) to complete a Section 179D certification for a large church’s energy efficiency retrofit in 2024. The project focused on significant HVAC upgrades at the church campus in Alpharetta, GA, resulting in improved energy performance and comfort. Beyond the technical success, the project … Read more

IRS Releases New Practice Unit on IRC 179D Deduction: Why Expert Guidance is Key to Compliance

On February 27, 2025, the IRS Large Business and International (LB&I) division released a comprehensive Practice Unit on the IRC 179D Energy Efficient Commercial Building Deduction. This document—aimed at IRS examiners—serves as both a training tool and procedural guide for audits and claims involving 179D deductions. While not official law, these Practice Units offer a … Read more

Energy Efficiency Pays Off: Section 179D Certification for a New York Multifamily Project

Energy Efficiency

Introduction Energy-efficient construction not only lowers utility bills – it can also unlock significant tax savings. One prime example is a recent multifamily housing and parking garage project in New York, completed in 2022, where the developer partnered with Walker Reid to achieve a Section 179D certification. This collaboration highlights how commercial property owners and … Read more

Navigating IRS Crackdowns, Section 174 Adjustments, and How 179D Deductions Can Help Architects, Engineers, and ESCOs

The IRS Is Watching: What Architects, Engineers, and ESCOs Need to Know  The IRS is ramping up its enforcement efforts, and if you’re in the architecture, engineering, or energy services industries, you need to be paying attention. The latest IRS campaign focuses on tax disclosure compliance, whistleblower incentives, and cracking down on taxpayers who aren’t … Read more

The Phase-Out of Bonus Depreciation: Unlocking New Opportunities with 179D in 2025

As we approach 2025, businesses and real estate investors are facing a significant shift in tax strategy due to the ongoing phase-out of bonus depreciation. While this change may initially seem like a limitation, it presents an opportunity to explore other lucrative tax incentives, such as the 179D Energy-Efficient Commercial Buildings Deduction. Understanding how these … Read more

Understanding the New DOE 179D Calculation Tool — Benefits, Limitations, and the Importance of Expert Guidance

On January 18, 2023, the U.S. Department of Energy (DOE) released a new online portal to help building owners, developers, and tax professionals better understand the potential tax deduction opportunities under §179D. This tool aims to simplify the sometimes-confusing calculations necessary to determine whether a commercial building qualifies for the 179D Energy-Efficient Commercial Building Tax … Read more

Navigating Energy Tax Incentives: 179D, 45L, and ITC in a Changing Political Landscape

Over the past year, the Inflation Reduction Act (IRA) has fundamentally reshaped the incentives landscape for energy-efficient buildings and clean energy initiatives. At Walker Reid, we’ve helped building owners, architects, developers, and other stakeholders maximize their tax benefits and navigate new legislative updates—particularly surrounding the 179D deduction, 45L credit, and Investment Tax Credit (ITC). With … Read more

179D Tax Incentive and 45L Credits for Energy Tax Benefits in 2025

The 179D Tax Incentives and 45L Credits Tax Benefits have become powerful tools for promoting energy-efficient construction and sustainable development. In 2025, updates and legislative changes will significantly impact CPAs, architectural and engineering (A/E) firms, real estate developers, and construction and energy service companies. Staying informed on these developments is essential to optimizing benefits and … Read more

2025 Energy Tax Incentives Outlook: Essential Insights for CPAs, A/E Firms, Real Estate Developers, and Construction & Energy Service Companies

Energy tax incentives have always been powerful catalysts for encouraging sustainable development, reducing energy costs, and stimulating economic growth. As we head into 2025, a new wave of updates and proposed adjustments promises to reshape the landscape for CPAs, architectural and engineering (A/E) firms, real estate developers, and construction and energy service companies. Staying abreast … Read more

IRS Announces §179D Tax Deduction Inflation Adjustments for 2025 – What You Need To Know

Inflation stock image

The Internal Revenue Service (IRS) has released its annual inflation adjustments for the tax year 2025, bringing significant updates to the Energy-Efficient Commercial Buildings Deduction under Section 179D of the Internal Revenue Code. These changes, detailed in Revenue Procedure 2024-40, are poised to impact building owners, architects, and designers aiming to capitalize on tax incentives … Read more

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