Can I Earn Tax Credits for My New Furnace?

For a lot of homeowners, there typically seems to be a large list of home improvement tasks that they need to get done or new ideas they’d like to attempt. While some may not be necessary, furnace replacement is one project that may be critical to keeping your home comfortable through the cooler months in Bend.

Buying a new furnace is a great investment. You’ll absolutely recognize 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 pick a new energy-efficient furnace, you could be eligible for a federal tax credit.

According to ENERGY STAR®, the Non-Business Energy Property Tax Credits were pushed through December 31, 2020. In order to obtain the tax credit, you are required to select a furnace that has earned the ENERGY STAR label. Keep in mind it can’t be a furnace that is labeled ENERGY STAR for “U.S. South Only.” When shopping for furnace replacements, keep an eye out for heat pumps with the ENERGY STAR rating so you can be sure you’re selecting a high-efficiency furnace.

At Tri County Climate Control LLC, the experts will help you choose a solution that fits your needs and makes sure you qualify for this tax credit. While ENERGY STAR products signify high efficiency, you’ll need to check the furnace you choose has an Annual Fuel Utilization Efficiency (AFUE) greater than 95, in order to qualify for the tax credit. AFUE means the percent of heat produced for every dollar of fuel consumed.

This tax credit won’t be the only savings you’ll receive when you purchase a new high-efficiency furnace. Some of the most efficient models can save you hundreds of dollars on your utility costs throughout the year. And your family will also have higher confidence in your HVAC system to maintain your indoor space at just the right temperature.

If you come across questions regarding your eligibility for a tax credit, or if there are further local savings you might be eligible for by getting a new high-efficiency furnace, give our experts at Tri County Climate Control LLC a call at 541-238-2797. You may also visit ENERGY STAR or contact your local utility establishment if you have questions about other eligible home products.