Can I Receive a Tax Credit for My New Furnace?

For a lot of households, there always seems to be a lengthy list of home improvement tasks that they would like to get done or new ideas they’d like to attempt. While a handful may not be required, furnace replacement is an example of a project that could be vital to keeping your home comfortable during the winter months in Carpentersville.

Getting a new furnace is a sizeable investment. You’ll absolutely notice the return-on-investment on your indoor comfort along with your energy costs, but it might be a bit intimidating at first. The good news is that when you buy a new energy-efficient furnace, you may be approved for a federal tax credit.

According to ENERGY STAR®, the Non-Business Energy Property Tax Credits were extended through December 31, 2020. In order to get the tax credit, you must buy a furnace that has earned the ENERGY STAR label. However, it can’t be a furnace that is labeled ENERGY STAR for “U.S. South Only.” When browsing for furnace replacements, watch for solutions with the ENERGY STAR rating so you can be certain you’re choosing a high-efficiency furnace.

At Controlled Comfort HVAC, we’ll help you choose an option that meets your needs and makes sure you qualify for this tax credit. While ENERGY STAR products indicate high efficiency, you’ll need to clarify that 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 is not going to be the only savings you’ll observe when you buy a new high-efficiency furnace. A lot of the most efficient solutions can save you hundreds of dollars on your energy bills during the year. And your family will also have higher confidence in your HVAC system to keep your house at just the right temp.

If you have questions about your eligibility for a tax credit, or if there are further local savings you could be eligible for by getting a new high-efficiency furnace, give our experts at Controlled Comfort HVAC a call at 224-412-8308. You could also visit ENERGY STAR or contact your local utility organization if you have questions about other eligible home products.