Can I Get a Tax Credit for My New Furnace?

For many households, there typically seems to be a lengthy list of home improvement to-do’s that they would like to get done or new ideas they’d like to give a shot. While several may not be necessities, furnace replacement is a task that may be key to keeping your home comfortable through the cooler months in Wyandotte.

Purchasing a new furnace is a large investment. You’ll definitely realize the return-on-investment on your indoor comfort as well as your energy bills, but it might be a little overwhelming at first. The good news is that when you shop for a new energy-efficient furnace, you could 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 have to purchase 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, watch for products with the ENERGY STAR rating so you can be certain you’re selecting a high-efficiency furnace.

At Gee & Missler Heating & Air Conditioning, our team can help you find an option that fits your needs and makes sure you qualify for this tax credit. While ENERGY STAR products signify high efficiency, you’ll need 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 represents the percent of heat produced for every dollar of fuel consumed.

Taking advantage of this opportunity won’t be the only savings you’ll observe when you buy a new high-efficiency furnace. Many of the most efficient models can save you hundreds of dollars on your energy costs all year long. And your household will also have more confidence in your HVAC system to maintain your indoor space at just the right comfort level.

If you think of questions concerning your eligibility for a tax credit, or if there are other local savings you might be eligible for by getting a new high-efficiency furnace, give our experts at Gee & Missler Heating & Air Conditioning a call at 734-284-1224. You can also visit ENERGY STAR or contact your local utility establishment if you have questions about other eligible home products.