In regard to energy-efficient HVAC installation in Voorhees, there’s great news for you this tax period.
The Residential Energy Efficient Property Credit has been lengthened through 2020. This can entitle you to incentives for energy-efficient home modifications, like new heating and cooling units, water heaters and heat pumps.
What Equipment is Eligible?
To qualify for the credit, the home is required to be the taxpayer’s chief residence in the United States. The improvement needs to last for at least five years, with the first use beginning with you.
What Types of Changes are Regarded as High-Efficiency Upgrades?
Typically, this tax credit is equivalent to 10% of the price of the following energy-saving enhancements that match specific 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
- Qualified exterior storm windows, skylights and storm doors
- Solar/geothermal energy products, like solar electricity, solar water heaters and geothermal heat pumps
Is There a Maximum Amount I Can Claim?
Yes, there’s a lifetime max credit of $500 per home. This means if you have taken this reduction in previous years, you must reduce any credit you claimed earlier.
If you have claimed the maximum amount, you won’t qualify for any extra reductions under this expansion.
Credit Caps for Particular Equipment
Credits are restricted for a couple of eligible equipment:
- Windows and skylights—$200
- Advanced main air circulation—$50
- Hot water boilers—$150
- Energy-efficient equipment—$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 Equipment Today
Been delaying installing new heating and cooling equipment? Call the Experts at 856-310-4824 or contact us online. We can help you select an energy-efficient system you can earn tax benefits during the upcoming year.