When it comes to energy-efficient HVAC installation in Albany, there’s great news for your family this tax period.
The Residential Energy Efficient Property Credit has been lengthened through 2020. This could qualify you for reductions for energy-efficient home modifications, like new heating and cooling systems, water heaters and heat pumps.
What Equipment is Eligible?
To be entitled for the reduction, the house must be the taxpayer’s chief home in the USA. The enhancement needs to work for a minimum of five years, with the first use beginning with the homeowner.
What Types of Changes are Considered High-Efficiency Updates?
Generally, this tax credit equals 10% of the price of the subsequent energy-saving enhancements that meet specific 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
- Particular metal and asphalt roofing
- Energy-efficient exterior storm windows, skylights and storm doors
- Solar/geothermal energy products, for instance solar electricity, solar water heaters and geothermal heat pumps
Am I Limited to Claiming a Certain Amount?
Yes, there’s a lifetime max credit of $500 per property. This means if you have used this credit in past years, you must lower any credit you previously claimed.
If you’ve previously claimed the top amount, you aren’t eligible for any other credits with this extension.
Credit Limits for Certain Items
Incentives are restricted for a couple of participating equipment:
- Windows and skylights—$200
- Advanced main air circulation—$50
- Hot water boilers—$150
- Energy-efficient units—$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 System Today
Been putting off getting new heating and cooling units? Talk with the Experts at 518-205-3324 or contact us online. We can help you find an energy-efficient system you can reap tax benefits from the next year.