,,ii  #aaf? ,,congress  #b;d ,session   
,s4 #digd  ,,9 ,,! ,,s5ate ,,( ,,!      
,,unit$ ,,/ates  ,decemb] #h1 #bjbj,mr4 
,k+ introduc$ ! foll[+ bill2 :i* 0 read 
twice & ref]r$ to ! ,committee on       
,f9ance  ,a ,,bill  ,to am5d ! ,int]nal 
,rev5ue ,code ( #aihf to e/abli% a      
refundable tax cr$it = ! in/allation (  
en]gy effici5t air s\rce heat pumps4    
#a4 ,%ort title ,?is ,act may be cit$ z 
! ,air ,s\rce ,heat ,pump ,act ( #bjbj4 
#b4 ,refundable tax cr$it = air s\rce   
heat pumps  7a7 ,9 g5]al ,subp>t ,c ( "p
 ,,iv ( sub*apt] ,a ( *apt] #a ( !      
,int]nal ,rev5ue ,code ( #aihf is am5d$ 
by ins]t+ aft] section #cf ! foll[+ new 
section3  #cf;,a4 ,air s\rce heat pump  
cr$it  7a7 ,all[ance ( cr$it ,9 ! case (
 an individual1 !re %all be all[$ z a   
cr$it aga9/ ! tax impos$ by ?is *apt] = 
! taxable ye> an am\nt equal to ! less] 
(-- 7#a7 #bj p]c5t ( any qualifi$ air   
s\rce heat pump exp5ditures1 or  7#b7   
#hjj4  7b7 ,qualifi$ air s\rce heat pump
 exp5ditures ,! t]m qualifi$ air s\rce  

heat pump exp5ditures means an          
exp5diture = prop]ty :i* uses an air    
s\rce heat pump1 z "p ( a duct$ or      
ductless sy/em1 to heat & cool a dwell+ 
unit1 provid$ t-- 7#a7 ! dwell+ unit is 
locat$ 9 ! ,unit$ ,/ates & us$ z !      
pr9cipal resid5ce 7z su* t]m is us$ 9   
section #aba7 ( ! taxpay]1 &  7#b7 ! air
 s\rce heat pump-- 7,a7 7i7 satisfies ! 
applicable p]=mance requirem5ts to meet 
! ,cold-,climate ,air-,s\rce ,heat ,pump
 ,specification1 z provid$ by ,nor!a/   
,en]gy ,effici5cy ,p>tn]%ips1 z 9 effect
 at ! "t t ! exp5diture = su* equipm5t  
is made 7or any successor /&>ds provid$ 
by ,nor!a/ ,en]gy ,effici5cy            
,p>tn]%ips71 or  7ii7 receiv$ ! mo/     
effici5t c]tification "u applicable     
,en]gy ,/> program requirem5ts :i* are 9
 effect at ! "t t ! exp5diture = su*    
prop]ty is made 7or any successor /&>ds 
e/abli%$ by ! ,environm5tal ,protection 
,ag5cy71  7,b7 is in/all$ 9 accordance )
 ! ,air ,condition+ ,contractors (      
,am]ica ,,hvac ,quality ,in/allation    

,specification 7,,ansi_/,,acca ,/&>d #e 
,,qi-#bjae71 or a subsequ5t v]sion      
approv$ = ?is purpose by ! ,secret>y (  
,en]gy1 &  7,c7 is displac+ heat+ load  
previ\sly provid$ by an exi/+ natural   
gas1 propane1 resi/ive electric1 or oil 
c5tral heat+ sy/em4  7c7 ,special rules 
,= purposes ( ?is section-- 7#a7        
,application ( c]ta9 rules ,rules simil>
 to ! rules "u p>agraphs 7#a71 7#e71    
7#f71 7#g71 & 7#h7 ( section #be;,d7e7  
%all apply4  7#b7 ,jo9t own]%ip  7,a7 ,9
 g5]al ,any exp5diture o!rwise qualify+ 
z a qualifi$ air s\rce heat pump        
exp5diture "u ?is section %all n be     
treat$ z fail+ to s qualify m]ely       
because su* exp5diture 0 made ) respect 
to #b or m dwell+ units4  7,b7 ,limits  
appli$ sep>ately ,9 ! case ( any        
exp5diture describ$ 9 subp>agraph 7,a71 
! am\nt ( ! cr$it all[able "u subsection
 7a7 %all 7subject to p>agraph 7#a77 be 
comput$ sep>ately ) respect to ! am\nt (
 ! exp5diture made = ea* dwell+ unit4   
7#c7 ,prop]ty f9anc$ by subsidiz$ en]gy 

f9anc+ ,= purposes ( det]m9+ ! am\nt (  
exp5ditures made by any individual )    
respect to any prop]ty1 !re %all n be   
tak5 into acc\nt exp5ditures :i* are    
made f subsidiz$ en]gy f9anc+ 7z def9$ 9
 section #dh7;a77#d77;,c774  7d7 ,basis 
adju/m5ts ,= purposes ( ?is subtitle1 if
 a cr$it is all[$ "u ?is section = any  
exp5diture ) respect to any prop]ty1 !  
increase 9 ! basis ( su* prop]ty :i*    
w\ld 7b = ?is subsection7 result f su*  
exp5diture %all be r$uc$ by ! am\nt ( ! 
cr$it s all[$4  4  7b7 ,con=m+ am5dm5ts 
7#a7 ,section #fbaa7;b77#d77;,a7 ( !    
,int]nal ,rev5ue ,code ( #aihf is am5d$ 
by ins]t+ #cf;,a1 aft] #cf14  7#b7 ,!   
table ( sections = subp>t ,c ( "p ,,iv (
 sub*apt] ,a ( *apt] #a ( su* ,code is  
am5d$ by ins]t+ aft] ! item relat+ to   
section #cf ! foll[+ new item3  ,sec4   
#cf;,a4 ,air s\rce heat pump cr$it4  4  
7c7 ,effective date ,! am5dm5ts made by 
?is section %all apply to taxable ye>s  
beg9n+ aft] ! date ( ! enactm5t ( ?is   
,act4