Can I Get Tax Credits for My New Furnace?

For a lot of families, there typically seems to be a long list of home improvement tasks that they would like to complete or new ideas they’d like to try. While several may not be necessities, furnace replacement is an example of a job that might be vital to keeping your home comfortable through the winter months in Tucson and Phoenix.

Selecting a new furnace is a great investment. You’ll certainly notice the return-on-investment on your indoor comfort as well as your utility costs, but it may be a bit intimidating 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 prolonged through December 31, 2020. In order to get the tax credit, you are required to purchase a furnace that has earned the ENERGY STAR label. However, it can’t be a furnace that is labeled ENERGY STAR for “U.S. South Only.” When looking for furnace replacements, look for heat pumps with the ENERGY STAR rating so you can be certain you’re choosing a high-efficiency furnace.

At Desert Husky HVAC/R Services, the experts will help you find a product that fits your needs and makes sure you qualify for this tax credit. While ENERGY STAR products designate high efficiency, you will want to clarify that 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.

This tax credit won’t be the only savings you’ll find when you buy a new high-efficiency furnace. Some of the most efficient solutions can save you hundreds of dollars on your energy bills all year long. And you’ll also have more confidence in your HVAC system to keep your house at just the right temp.

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 teams at Desert Husky HVAC/R Services a call at 520-416-5415. You may also visit ENERGY STAR or contact your local utility company if you have questions about other eligible home products.