Family enjoying the comfort of home

Can I earn a tax credit for my new furnace?

For most families, there always seems to be a large list of home improvement to-do’s that they need to do or new ideas they’d like to attempt. While a handful may not be necessary, furnace replacement is an example of a project that could be key to keeping your home comfortable throughout the winter months in Pacheco.

Getting a new furnace is a sizeable investment. You’ll definitely realize the return-on-investment on your indoor comfort in addition to your utility costs, but it might be a little overwhelming 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 get the tax credit, you are required to 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 certain you’re choosing a high-efficiency furnace.

At Clean Air HVAC, our team can help you determine a solution that meets your needs and helps you qualify for this tax credit. While ENERGY STAR products signify high efficiency, you will want to clarify that the furnace you select 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 buy a new high-efficiency furnace. Some of the most efficient solutions can save you hundreds of dollars on your utility costs all year long. And your family will also have more confidence in your HVAC system to help your home stay at just the right temperature.

If you come across questions about your eligibility for a tax credit, or if there are other local savings you may be eligible for by purchasing a new high-efficiency furnace, give our technicians at Clean Air HVAC a call at 925-233-6238. You can also visit ENERGY STAR or contact your local utility establishment if you have questions about other eligible home products.

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