Family enjoying the comfort of home

Can I earn a tax credit for my new furnace?

For most households, there always seems to be a large list of home improvement to-do’s that they would like to get done or new ideas they’d like to try. While a handful may not be required, furnace replacement is an example of a task that might be critical to keeping your home comfortable during the colder months in East Bernard.

Purchasing a new furnace is a large investment. You’ll certainly notice the return-on-investment on your indoor comfort as well as your energy costs, but it could be a bit intimidating at first. The good news is that when you purchase 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 get 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, keep an eye out for heat pumps with the ENERGY STAR rating so you can be certain you’re picking a high-efficiency furnace.

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

This tax credit will not be the only savings you’ll receive when you purchase a new high-efficiency furnace. Some of the most efficient products can save you hundreds of dollars on your energy bills during the year. And your family will also have greater confidence in your HVAC system to help your home stay at just the right temperature.

If you come across questions concerning 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 E.B. Air, LLC a call at 979-335-4262. You could also visit ENERGY STAR or contact your local utility establishment if you have questions about other eligible home products.

Back To Blog