In regard to energy-efficient HVAC installation in Wheeling, there’s good news for your family this tax period.
The Residential Energy Efficient Property Credit has been lengthened through 2020. This might qualify you for credits for energy-efficient home improvements, like modern heating and cooling systems, water heaters and heat pumps.
What Equipment is Eligible?
To become eligible for the incentive, the home should be the taxpayer’s main house in the United States. The improvement should have a life of at least five years, with the first use beginning with you.
What Varieties of Enhancements are Considered High-Efficiency Updates?
Typically, this tax reduction corresponds with 10% of the price of the ensuing energy-saving enhancements that meet particular ENERGY STAR® requirements:
- Advanced main air-circulating fans
- Energy-efficient gas, propane or oil furnaces
- Energy-efficient gas, propane or oil hot water boilers
- Energy-efficient heat pumps
- Energy-efficient water heaters
- Energy-efficient central air conditioners
- Particular metal and asphalt roofing
- Certain exterior storm windows, skylights and storm doors
- Solar/geothermal energy solutions, such as solar electricity, solar water heaters and geothermal heat pumps
Is There a Maximum Amount I Can Claim?
Yes, there’s a lifetime restriction of $500 per home. This means if you have used this credit in prior years, you must reduce any credit you previously claimed.
If you’ve already claimed the max amount, you won’t qualify for any other reductions under this extension.
Credit Limits for Certain Equipment
Incentives are limited for some participating solutions:
- Windows and skylights—$200
- Advanced main air circulation—$50
- Hot water boilers—$150
- Energy-efficient units—$300
If you have questions about how you can benefit from the extension of the residential energy efficient property tax credit, download Form 5695 or contact your tax advisor for assistance.
Upgrade Your Heating and Cooling Units Today
Been procrastinating installing new heating and cooling system? Talk with the Experts at 847-250-6729 or contact us online. We can help you find an energy-efficient system you can get tax benefits from the next year.