A bill to amend the Internal Revenue Code of 1954 to provide a credit against tax, or in the alternative a deduction, for energy conserving residential expenditures.

Provides a tax credit under the Internal Revenue Code for 25 percent up to $250 ($125 in the case of a married individual filing separately) of the energy conserving residential expenditures incurred by a taxpayer during the taxable year. Authorizes the taxpayer to elect to deduct up to $1000 of such expenses in lieu of the credit provided by this Act.