Family enjoying the comfort of home

Can I get a tax credit for my new furnace?

For many households, there usually seems to be a long list of home improvement tasks that they need to get done or new ideas they’d like to attempt. While several may not be required, furnace replacement is a job that could be key to keeping your home comfortable through the colder months in Wyandotte.

Buying a new furnace is a sizeable investment. You’ll definitely see the return-on-investment on your indoor comfort in addition to your utility costs, but it could be a bit daunting at first. The good news is that when you pick 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 get the tax credit, you must 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, look for heat pumps with the ENERGY STAR rating so you can be certain you’re picking a high-efficiency furnace.

At Gee & Missler Heating & Air Conditioning, the experts will help you identify an option that matches your needs and helps you qualify for this tax credit. While ENERGY STAR products signify high efficiency, you’ll need 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 represents the percent of heat produced for every dollar of fuel consumed.

Taking advantage of this opportunity will not be the only savings you’ll find when you purchase a new high-efficiency furnace. Some 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 help your home stay at just the right temp.

If you think of questions about your eligibility for a tax credit, or if there are additional local savings you might be eligible for by getting a new high-efficiency furnace, give our teams at Gee & Missler Heating & Air Conditioning a call at 734-363-8907. You could also visit ENERGY STAR or contact your local utility establishment if you have questions about other eligible home products.

Back To Blog