Did Your Energy-Efficient Project Start Before July 1?

[William Thompson]

I’m surprised more commercial property investors aren’t talking about this.

Section 179D can create a valuable deduction for qualifying improvements to lighting, HVAC, hot-water systems, and the building envelope.

But here’s the issue:

The deduction is no longer available for property where construction began after June 30, 2026. Projects that started before that date may still have an opportunity if the other requirements are met.

I see investors spend serious money improving buildings, then ask about tax incentives after everything is finished.

That’s backward.

The tax conversation needs to happen before construction starts, not after the invoices are paid.

Did anyone here begin an energy-efficiency project before July 1 and review whether Section 179D applies?