Family enjoying the comfort of home

Can I earn a tax credit for my new furnace?

For most homeowners, there always seems to be a large list of home improvement tasks that they would like to get done or new ideas they’d like to attempt. While several may not be necessary, furnace replacement is one task that may be critical to keeping your home comfortable during the cooler months in Dayton.

Purchasing a new furnace is a sizeable investment. You’ll absolutely feel the return-on-investment on your indoor comfort as well as your energy bills, but it may be a little daunting at first. The good news is that when you shop for a new energy-efficient furnace, you could be qualified 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 have 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 researching furnace replacements, look for solutions with the ENERGY STAR rating so you can be certain you’re selecting a high-efficiency furnace.

At Jent Mechanical LLC, we’ll help you determine a solution that fits your needs and makes sure you qualify for this tax credit. While ENERGY STAR products signify high efficiency, you’ll need to clarify that the furnace you pick 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.

This tax credit will not be the only savings you’ll find when you buy a new high-efficiency furnace. Many of the most efficient models can save you hundreds of dollars on your energy costs all year long. And you’ll also have higher confidence in your HVAC system to help your home stay at just the right temp.

If you think of questions about your eligibility for a tax credit, or if there are further local savings you could be eligible for by buying a new high-efficiency furnace, give our professionals at Jent Mechanical LLC a call at 937-526-2077. You may also visit ENERGY STAR or contact your local utility organization if you have questions about other eligible home products.

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