Can I Get Tax Credits for My New Furnace?

For a lot of families, there usually seems to be a large list of home improvement projects that they want to do or new ideas they’d like to try. While a handful may not be necessary, furnace replacement is one job that might be key to keeping your home comfortable throughout the colder months in Milledgeville and Middle Georgia.

Buying a new furnace is a big investment. You’ll definitely feel the return-on-investment on your indoor comfort in addition to your utility costs, but it could be a bit intimidating at first. The good news is that when you select a new energy-efficient furnace, you may be eligible for a federal tax credit.

According to ENERGY STAR®, the Non-Business Energy Property Tax Credits were extended through December 31, 2020. In order to obtain the tax credit, you must purchase a furnace that has earned the ENERGY STAR label. However, it can’t be a furnace that is labeled ENERGY STAR for “U.S. South Only.” When researching furnace replacements, watch for products with the ENERGY STAR rating so you can be sure you’re selecting a high-efficiency furnace.

At Air Concepts of Middle Georgia, we’ll help you determine a product that meets your needs and ensures you qualify for this tax credit. While ENERGY STAR products designate high efficiency, you will want to clarify that the furnace you choose 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.

Qualifying for the tax credit will not be the only savings you’ll observe when you buy a new high-efficiency furnace. Some of the most efficient models can save you hundreds of dollars on your utility costs during the year. And your family will also have more confidence in your HVAC system to keep your house at just the right temp.

If you have questions concerning your eligibility for a tax credit, or if there are additional local savings you could be eligible for by installing a new high-efficiency furnace, give our experts at Air Concepts of Middle Georgia a call at 478-200-5689. You may also visit ENERGY STAR or contact your local utility establishment if you have questions about other eligible home products.