When it comes to energy-efficient HVAC installation in Medina, there’s great news for homeowners this tax season.
The Residential Energy Efficient Property Credit will now go through 2020. This could qualify you for reductions for energy-efficient home improvements, like modern heating and cooling equipment, water heaters and heat pumps.
What Makes My Purchase Eligible?
To become eligible for the incentive, the home should be the taxpayer’s main home in the U.S. The improvement must last for at least five years, with the first use starting with the homeowner.
What Varieties of Improvements are Eligible to be High-Efficiency Renovations?
Generally, this tax incentive corresponds with 10% of the price of the following energy-saving improvements that meet specified ENERGY STAR® conditions:
- 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
- Qualified exterior storm windows, skylights and storm doors
- Solar/geothermal energy equipment, for example solar electricity, solar water heaters and geothermal heat pumps
Am I Limited to Claiming a Certain Amount?
Yes, there’s a lifetime limitation of $500 per home. This means if you have used this incentive in past years, you should reduce any credit you previously claimed.
If you’ve previously claimed the maximum amount, you won’t qualify for any other incentives under this extension.
Credit Caps for Particular Items
Credits are limited for certain participating items:
- Windows and skylights—$200
- Advanced main air circulation—$50
- Hot water boilers—$150
- Energy-efficient systems—$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.
Improve Your Heating and Cooling System Today
Been putting off installing new heating and cooling units? Call the Experts at 330-305-2799 or contact us online. We can help you choose an energy-efficient system you can reap tax benefits from the next year.