Can I Receive a Tax Credit for My New Furnace?

For a lot of families, there always seems to be a large list of home improvement to-do’s that they want to do or new ideas they’d like to try. While a handful may not be required, furnace replacement is an example of a task that could be key to keeping your home comfortable during the winter months in Wyandotte.

Buying a new furnace is a sizeable investment. You’ll certainly see the return-on-investment on your indoor comfort as well as your energy bills, but it could be a bit overwhelming at first. The good news is that when you buy a new energy-efficient furnace, you may be qualified 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 obtain the tax credit, you have to buy 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 shopping for furnace replacements, keep an eye out for solutions with the ENERGY STAR rating so you can be certain you’re selecting a high-efficiency furnace.

At Gee & Missler Heating & Air Conditioning, the experts will help you select a solution that meets your needs and makes sure you qualify for this tax credit. While ENERGY STAR products designate high efficiency, you will want to confirm 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.

Qualifying for the tax credit is not going to be the only savings you’ll find when you purchase a new high-efficiency furnace. Many of the most efficient products can save you hundreds of dollars on your energy bills throughout the year. And you’ll also have more confidence in your HVAC system to keep your house at just the right comfort level.

If you think of questions about your eligibility for a tax credit, or if there are further local savings you might be eligible for by purchasing a new high-efficiency furnace, give our teams at Gee & Missler Heating & Air Conditioning a call at 734-284-1224. You can also visit ENERGY STAR or contact your local utility establishment if you have questions about other eligible home products.