In regard to energy-efficient HVAC installation in Dayton, there’s good news for your family this tax period.
The Residential Energy Efficient Property Credit has been lengthened through 2020. This could entitle you to incentives for energy-efficient home improvements, like modern heating and cooling systems, water heaters and heat pumps.
How Do I Know if My Equipment Qualifies?
To qualify for the credit, the residence should be the taxpayer’s chief residence in the U.S.. The improvement should have a life of a minimum of five years, with the first use originating with the homeowner.
What Kinds of Improvements are Qualify for High-Efficiency Renovations?
Generally, this tax incentive equals 10% of the expense of the subsequent energy-saving improvements that match particular 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
- Energy-efficient metal and asphalt roofing
- Energy-efficient exterior storm windows, skylights and storm doors
- Solar/geothermal energy equipment, such as solar electricity, solar water heaters and geothermal heat pumps
Am I Limited to Claiming a Certain Amount?
Yes, there’s a lifetime maximum credit of $500 per home. This means if you have used this incentive in past years, you should decrease any credit you already claimed.
If you’ve previously claimed the max amount, you aren’t eligible for any other incentives under this expansion.
Credit Limits for Certain Equipment
Incentives are restricted for some participating items:
- 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.
Upgrade Your Heating and Cooling Equipment Today
Been delaying upgrading your heating and cooling equipment? Call the Experts at 937-503-7896 or contact us online. We can help you find an energy-efficient system you can get tax benefits during the upcoming year.