When it comes to energy-efficient HVAC installation in East Syracuse, there’s good news for homeowners this tax period.
The Residential Energy Efficient Property Credit has been lengthened through 2020. This could make you eligible for reductions for energy-efficient home enhancements, like new heating and cooling equipment, water heaters and heat pumps.
How Do I Know if My Equipment Qualifies?
To become eligible for the credit, the residence must be the taxpayer’s chief house in the USA. The improvement must have a life of a minimum of five years, with the first use originating with you.
What Types of Improvements are Regarded as High-Efficiency Renovations?
Typically, this tax reduction equals 10% of the expense of the ensuing energy-saving enhancements that match specified ENERGY STAR® guidelines:
- 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 equipment, for instance solar electricity, solar water heaters and geothermal heat pumps
How Much Can I Claim?
Yes, there’s a lifetime maximum credit of $500 per property. This means if you have taken this credit in past years, you should reduce any credit you previously claimed.
If you’ve already claimed the highest amount, you won’t be eligible for any additional reductions through this expansion.
Credit Caps for Specific Units
Tax reductions are limited for a couple of eligible items:
- Windows and skylights—$200
- Advanced main air circulation—$50
- Hot water boilers—$150
- Energy-efficient equipment—$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.
Enhance Your Heating and Cooling System Today
Been procrastinating installing new heating and cooling units? Reach the Experts at 315-313-6531 or contact us online. We can help you select an energy-efficient system you can get tax benefits from the next year.