Family enjoying the comfort of home

Can I receive a tax credit for my new furnace?

For many families, there usually seems to be a lengthy list of home improvement tasks that they want to complete or new ideas they’d like to attempt. While several may not be necessities, furnace replacement is one task that may be vital to keeping your home comfortable during the cooler months in Wharton.

Selecting a new furnace is a big investment. You’ll certainly notice the return-on-investment on your indoor comfort as well as your energy costs, 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 prolonged through December 31, 2020. In order to get the tax credit, you must purchase 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 looking for furnace replacements, look for heat pumps with the ENERGY STAR rating so you can be certain you’re selecting a high-efficiency furnace.

At Faust Air Conditioning and Heating, the experts will help you identify an option that matches your needs and ensures you qualify for this tax credit. While ENERGY STAR products signify high efficiency, it’s important to check the furnace you select 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.

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

If you think of questions about your eligibility for a tax credit, or if there are further local savings you may be eligible for by purchasing a new high-efficiency furnace, give our professionals at Faust Air Conditioning and Heating a call at 979-532-2511. You may also visit ENERGY STAR or contact your local utility establishment if you have questions about other eligible home products.

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