Can I Get a Tax Credit for My New Furnace?

For many homeowners, there always seems to be a lengthy list of home improvement to-do’s that they want to do or new ideas they’d like to give a shot. While a handful may not be necessities, furnace replacement is one project that could be vital to keeping your home comfortable throughout the colder months in Temple/Belton .

Buying a new furnace is a large investment. You’ll definitely recognize the return-on-investment on your indoor comfort along with your energy bills, but it may be a tad overwhelming 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 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 looking for furnace replacements, look for products with the ENERGY STAR rating so you can be certain you’re picking a high-efficiency furnace.

At Bell Air Conditioning Inc, our team can help you choose an option that fits your needs and helps you qualify for this tax credit. While ENERGY STAR products designate high efficiency, it’s important 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 indicates the percent of heat produced for every dollar of fuel consumed.

Taking advantage of this opportunity will not be the only savings you’ll receive when you buy a new high-efficiency furnace. Many of the most efficient models can save you hundreds of dollars on your energy bills during the year. And you’ll also have greater confidence in your HVAC system to maintain your indoor space at just the right comfort level.

If you think of questions concerning your eligibility for a tax credit, or if there are other local savings you might be eligible for by buying a new high-efficiency furnace, give our technicians at Bell Air Conditioning Inc a call at 254-307-9572. You could also visit ENERGY STAR or contact your local utility company if you have questions about other eligible home products.