Family enjoying the comfort of home

Can I receive a tax credit for my new furnace?

For most families, there usually seems to be a lengthy list of home improvement tasks that they need to get done or new ideas they’d like to attempt. While some may not be necessities, furnace replacement is an example of a job that might be critical to keeping your home comfortable during the colder months in Reinholds.

Buying a new furnace is a great investment. You’ll absolutely realize the return-on-investment on your indoor comfort along with your utility costs, but it could be a bit overwhelming at first. The good news is that when you buy a new energy-efficient furnace, you might be approved for a federal tax credit.

According to ENERGY STAR®, the Non-Business Energy Property Tax Credits were prolonged through December 31, 2020. In order to obtain the tax credit, you are required to buy a furnace that has earned the ENERGY STAR label. Keep in mind it can’t be a furnace that is labeled ENERGY STAR for “U.S. South Only.” When browsing for furnace replacements, watch for heat pumps with the ENERGY STAR rating so you can be certain you’re picking a high-efficiency furnace.

At County Line Mechanical LLC, we’ll help you select an option that matches your needs and ensures you qualify for this tax credit. While ENERGY STAR products signify high efficiency, you will want to confirm the furnace you pick has an Annual Fuel Utilization Efficiency (AFUE) greater than 95, in order to qualify for the tax credit. AFUE indicates the percent of heat produced for every dollar of fuel consumed.

Qualifying for the tax credit won’t be the only savings you’ll observe when you get a new high-efficiency furnace. Some of the most efficient solutions can save you hundreds of dollars on your energy costs during the year. And your household will also have greater confidence in your HVAC system to keep your house at just the right temp.

If you come across questions regarding your eligibility for a tax credit, or if there are other local savings you might be eligible for by purchasing a new high-efficiency furnace, give our experts at County Line Mechanical LLC a call at 717-216-0846. You may also visit ENERGY STAR or contact your local utility establishment if you have questions about other eligible home products.

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