Can I Receive Tax Credits for My New Furnace?

For a lot of households, there typically seems to be a long list of home improvement to-do’s that they would like to get done or new ideas they’d like to give a shot. While several may not be required, furnace replacement is a task that could be critical to keeping your home comfortable through the colder months in Port Clinton.

Buying a new furnace is a sizeable investment. You’ll certainly realize the return-on-investment on your indoor comfort along with your energy bills, but it may be a tad daunting at first. The good news is that when you select 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 pushed through December 31, 2020. In order to get the tax credit, you have to select a furnace that has earned the ENERGY STAR label. It cannot be a furnace that is labeled ENERGY STAR for “U.S. South Only.” When researching furnace replacements, watch for heat pumps with the ENERGY STAR rating so you can be confident you’re selecting a high-efficiency furnace.

At Ohler & Holzhauer Inc., we’ll help you choose a solution that matches your needs and helps you qualify for this tax credit. While ENERGY STAR products signify high efficiency, you will want 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 represents the percent of heat produced for every dollar of fuel consumed.

Taking advantage of this opportunity will not be the only savings you’ll observe when you get a new high-efficiency furnace. Many of the most efficient solutions can save you hundreds of dollars on your energy costs throughout the year. And your family will also have higher confidence in your HVAC system to keep your house at just the right temperature.

If you think of questions concerning your eligibility for a tax credit, or if there are other local savings you might be eligible for by getting a new high-efficiency furnace, give our technicians at Ohler & Holzhauer Inc. a call at 419-465-8722. You could also visit ENERGY STAR or contact your local utility establishment if you have questions about other eligible home products.