Can I Receive Tax Credits for My New Furnace?

For many households, there usually seems to be a large list of home improvement projects that they would like to complete or new ideas they’d like to give a shot. While a handful may not be necessities, furnace replacement is one task that may be vital to keeping your home comfortable through the winter months in Tomball.

Purchasing a new furnace is a sizeable investment. You’ll definitely realize the return-on-investment on your indoor comfort in addition to your utility costs, but it might be a tad overwhelming at first. The good news is that when you pick a new energy-efficient furnace, you might be eligible 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 receive the tax credit, you are required to purchase 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 browsing for furnace replacements, keep an eye out for solutions with the ENERGY STAR rating so you can be certain you’re picking a high-efficiency furnace.

At Premium Air Services LLC, we’ll help you find a solution that matches your needs and makes sure you qualify for this tax credit. While ENERGY STAR products indicate high efficiency, you will want to confirm 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.

Qualifying for the tax credit will not be the only savings you’ll observe when you purchase a new high-efficiency furnace. Many of the most efficient models can save you hundreds of dollars on your utility costs all year long. And you’ll also have greater confidence in your HVAC system to maintain your indoor space at just the right temperature.

If you think of questions regarding your eligibility for a tax credit, or if there are further local savings you might be eligible for by installing a new high-efficiency furnace, give our experts at Premium Air Services LLC a call at 713-364-9957. You may also visit ENERGY STAR or contact your local utility establishment if you have questions about other eligible home products.