Can I Get a Tax Credit for My New Furnace?

For a lot of families, there usually seems to be a large list of home improvement tasks that they want to do or new ideas they’d like to give a shot. While several may not be necessities, furnace replacement is a job that could be vital to keeping your home comfortable through the winter months in Greensburg.

Purchasing a new furnace is a sizeable investment. You’ll certainly realize the return-on-investment on your indoor comfort as well as your utility costs, but it might be a little overwhelming at first. The good news is that when you select a new energy-efficient furnace, you may be eligible for a federal tax credit.

According to ENERGY STAR®, the Non-Business Energy Property Tax Credits were extended through December 31, 2020. In order to receive the tax credit, you must buy a furnace that has earned the ENERGY STAR label. It cannot be a furnace that is labeled ENERGY STAR for “U.S. South Only.” When looking for furnace replacements, look for solutions with the ENERGY STAR rating so you can be confident you’re selecting a high-efficiency furnace.

At Wallpe Heating & Cooling, we’ll help you find an option that fits your needs and ensures you qualify for this tax credit. While ENERGY STAR products designate high efficiency, you’ll need to clarify that the furnace you choose has an Annual Fuel Utilization Efficiency (AFUE) greater than 95, in order to qualify for the tax credit. AFUE represents the percent of heat produced for every dollar of fuel consumed.

Taking advantage of this opportunity is not going to be the only savings you’ll receive when you get a new high-efficiency furnace. Some of the most efficient models can save you hundreds of dollars on your utility costs throughout the year. And your household will also have more confidence in your HVAC system to maintain your indoor space at just the right temperature.

If you have questions concerning your eligibility for a tax credit, or if there are other local savings you might be eligible for by buying a new high-efficiency furnace, give our technicians at Wallpe Heating & Cooling a call at 812-663-7252. You could also visit ENERGY STAR or contact your local utility company if you have questions about other eligible home products.