When it comes to energy-efficient HVAC installation in Gainesville, there’s great news for your family this tax season.
The Residential Energy Efficient Property Credit has been extended through 2020. This might qualify you for credits for energy-efficient home improvements, like modern heating and cooling systems, water heaters and heat pumps.
How Do I Know if My Equipment Qualifies?
To be entitled for the credit, the residence is required to be the taxpayer’s main residence in the United States. The improvement should have a life of at least five years, with the first use starting with the taxpayer.
What Varieties of Changes are Eligible to be High-Efficiency Updates?
Usually, this tax reduction corresponds with 10% of the price of the ensuing energy-saving improvements that achieve particular ENERGY STAR® conditions:
- 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
- Certain metal and asphalt roofing
- Qualified exterior storm windows, skylights and storm doors
- Solar/geothermal energy products, like solar electricity, solar water heaters and geothermal heat pumps
Is There a Limit to How Much I Can Claim?
Yes, there’s a lifetime maximum credit of $500 per home. This means if you have taken this credit in previous years, you are required to decrease any credit you claimed earlier.
If you’ve already claimed the max amount, you aren’t eligible for any additional reductions under this extension.
Credit Caps for Specific Units
Credits are limited for a couple of qualified 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 Equipment Today
Been putting off installing new heating and cooling system? Call the Experts at 352-414-4006 or contact us online. We can help you find an energy-efficient system you can get tax benefits from the following year.