Family enjoying the comfort of home

Can I receive a tax credit for my new furnace?

For many homeowners, there usually seems to be a long list of home improvement projects that they need to get done or new ideas they’d like to attempt. While a handful may not be necessary, furnace replacement is a project that could be key to keeping your home comfortable throughout the cooler months in Dallas.

Purchasing a new furnace is a sizeable investment. You’ll absolutely realize the return-on-investment on your indoor comfort in addition to your energy bills, but it could be a tad daunting at first. The good news is that when you purchase a new energy-efficient furnace, you could be qualified 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 buy 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, keep an eye out for products with the ENERGY STAR rating so you can be sure you’re choosing a high-efficiency furnace.

At Tri County Air Care LLC, our team can help you determine a solution that fits your needs and makes sure you qualify for this tax credit. While ENERGY STAR products indicate high efficiency, it’s important to check 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.

Qualifying for the tax credit won’t be the only savings you’ll receive when you purchase a new high-efficiency furnace. Many of the most efficient solutions can save you hundreds of dollars on your energy costs all year long. And your family will also have greater confidence in your HVAC system to help your home stay at just the right temperature.

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 installing a new high-efficiency furnace, give our experts at Tri County Air Care LLC a call at 469-213-8367. You can also visit ENERGY STAR or contact your local utility company if you have questions about other eligible home products.

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