Can I Get Tax Credits for My New Furnace?

For many households, there always seems to be a large list of home improvement projects that they would like to get done or new ideas they’d like to give a shot. While several may not be necessary, furnace replacement is a job that might be key to keeping your home comfortable through the winter months in Redmond.

Getting a new furnace is a great investment. You’ll certainly recognize the return-on-investment on your indoor comfort in addition to your energy costs, but it might be a bit daunting at first. The good news is that when you select a new energy-efficient furnace, you might be qualified 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 obtain the tax credit, you must buy a furnace that has earned the ENERGY STAR label. Keep in mind it can’t be a furnace that is labeled ENERGY STAR for “U.S. South Only.” When looking for furnace replacements, look for products with the ENERGY STAR rating so you can be sure you’re picking a high-efficiency furnace.

At Just Komfort Heating & Cooling, we’ll help you select a solution that matches your needs and ensures you qualify for this tax credit. While ENERGY STAR products signify high efficiency, you’ll need to clarify that the furnace you choose has an Annual Fuel Utilization Efficiency (AFUE) greater than 95, in order to qualify for the tax credit. AFUE indicates the percent of heat produced for every dollar of fuel consumed.

This tax credit is not going to 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 bills during the year. And your household will also have more confidence in your HVAC system to help your home stay at just the right temp.

If you think of questions concerning your eligibility for a tax credit, or if there are other local savings you may be eligible for by purchasing a new high-efficiency furnace, give our professionals at Just Komfort Heating & Cooling a call at 458-206-0216. You could also visit ENERGY STAR or contact your local utility organization if you have questions about other eligible home products.