Can a homeowners association take advantage of the Energy Efficient Home Improvement Credit?

The basics
The Energy Efficient Home Improvement Credit (25C) is an individual tax credit that provides funding toward efficient home energy upgrades. The tax credit is for 30% of qualified expenses with cost limits determined by the project type (e.g., heat pumps have a limit of $2,000). The credit is nonrefundable, meaning it is typically unavailable to households with lower incomes. The credit is also not available to landlords or for new construction projects. 

The HOA specifics
The HOA cannot directly claim 25C because it must be claimed on an individual’s tax return. However, Treasury clearly states in a Q&A that 25C is available to tenant-stockholders in a cooperative housing corporation and condominium owners by passing through the individual’s proportionate share. For example, the HOA may pay for new heat pumps with a special assessment to the owners divided proportionately among the owners. Each individual owner would then calculate their credit amount on Form 5695. 

Disclaimer
I am not a lawyer! Before moving forward with an upgrade, I strongly encourage you to consult with your individual income tax preparer on the treatment of these tax credits in your individual income tax return.