AZ Heat Pump Rebate Stacking Calculator
Stack the $2,000 federal 25C tax credit with APS Cool Cash, SRP, or TEP rebates to cut your high-efficiency heat pump cost by $3,000-$4,500. Pick your utility and SEER2 tier to see your net cost after all 2026 rebates.
Your Utility
Different Arizona utilities offer different heat pump rebate amounts. Pick yours to see the right numbers.
Heat Pump Efficiency (SEER2)
Higher SEER2 rating unlocks bigger utility rebates. Ask your installer for the AHRI certificate — it lists the exact SEER2.
Total Installed Cost
Equipment + installation + permits. Typical 3-4 ton Arizona install runs $10,000-$18,000 depending on efficiency tier and contractor.
Tip: Get 3+ quotes. For the same SEER2 tier, quotes can vary 15-25% between installers in Phoenix metro.
Your Rebate Stack
Approximate total savings using published 2026 rebate amounts. Actual utility rebates vary by model and funding availability — confirm with your utility before committing.
Federal 25C
$2,000
maxed at cap
APS Cool Cash
$2,000
est $1,500-$2,500
Total Rebates
$4,000
28% off
Net Cost
$10,500
after all rebates
Where Your Savings Come From
Federal 25C Tax Credit
maxed
$2,000
30% of equipment + install cost, capped at $2,000/year. Requires ENERGY STAR certification. Claimed on IRS Form 5695 the tax year after install. Nonrefundable — needs enough federal tax liability.
APS Cool Cash
$1,500-$2,500
$2,000
Applied as an instant discount through participating contractors at time of install. Requires ENERGY STAR + SEER2 threshold. Verify current amounts at aps.com/CoolCash before signing.
How the Arizona Heat Pump Rebate Stack Works
Arizona heat pump buyers have access to three separate rebate layers in 2026. They stack — you claim all of them — but the mechanics differ and each has its own eligibility rules.
Federal 25C
30% of equipment + install cost, capped at $2,000/year. ENERGY STAR required. Claimed on IRS Form 5695. Nonrefundable — need enough tax liability to use the full credit. Runs through 2032.
APS Cool Cash
$400-$2,500 depending on SEER2 tier. Applied as an instant discount at install time through participating contractors. No mail-in forms. Funding can run out in peak summer.
SRP / TEP
SRP: $500-$2,000. TEP: $400-$1,250. Both are mail-in reimbursement — you pay full price at install, submit AHRI certificate and receipts, check arrives in 4-8 weeks.
Keep Reading
Rebates
Full Arizona Heat Pump Rebate Stacking Guide (2026)
Full walkthrough with contractor tips, example builds, and how to claim each rebate.
Incentives
Every Arizona Solar & Battery Incentive in 2026
Battery ITC, AZ state credit, APS Cool Reward, VPP earnings — the full incentive landscape.
Calculator
AZ Pre-Cooling Savings Calculator
After your new heat pump is installed, pre-cooling on TOU rates saves another $50-$150/month in summer.
Equipment
Best Smart Thermostats for Arizona TOU
ecobee, Nest, and Honeywell stack with heat pump installs via APS/SRP thermostat rebates.
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Disclaimer
Rebate amounts are estimates based on published APS Cool Cash, SRP, and TEP 2026 rebate schedules and IRS 25C guidance as of April 2026. Exact amounts vary by equipment model, AHRI certificate, and funding availability. Utility programs are reviewed annually and funding can run out mid-year. Always verify current amounts directly with your utility before committing to equipment. The federal 25C credit is nonrefundable and requires sufficient federal tax liability. This is not tax, legal, or professional installation advice — consult qualified professionals.