Can I Get a Tax Credit for My New Furnace?

For a lot of households, there usually seems to be a large list of home improvement tasks that they need to do or new ideas they’d like to attempt. While some may not be required, furnace replacement is a task that might be critical to keeping your home comfortable during the colder months in Macon.

Getting a new furnace is a great investment. You’ll definitely notice the return-on-investment on your indoor comfort in addition to your energy costs, but it could be a bit daunting at first. The good news is that when you purchase a new energy-efficient furnace, you may 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 receive the tax credit, you must purchase a furnace that has earned the ENERGY STAR label. Keep in mind it can’t be a furnace that is labeled ENERGY STAR for “U.S. South Only.” When researching furnace replacements, keep an eye out for products with the ENERGY STAR rating so you can be sure you’re selecting a high-efficiency furnace.

At Air Temperature Control, our team can help you choose a solution that matches your needs and makes sure you qualify for this tax credit. While ENERGY STAR products designate 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 find when you select a new high-efficiency furnace. Many of the most efficient solutions can save you hundreds of dollars on your energy costs during the year. And your household will also have greater confidence in your HVAC system to maintain your indoor space at just the right temperature.

If you think of questions about your eligibility for a tax credit, or if there are additional local savings you may be eligible for by purchasing a new high-efficiency furnace, give our experts at Air Temperature Control a call at 478-202-3170. You could also visit ENERGY STAR or contact your local utility company if you have questions about other eligible home products.