Can I Earn Tax Credits for My New Furnace?

For a lot of families, there always 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 attempt. While a handful may not be necessary, furnace replacement is a task that may be vital to keeping your home comfortable during the cooler months in Florissant and St. Charles.

Getting a new furnace is a big investment. You’ll absolutely feel the return-on-investment on your indoor comfort in addition to your energy costs, but it could be a tad intimidating at first. The good news is that when you purchase a new energy-efficient furnace, you could be eligible for a federal tax credit.

According to ENERGY STAR®, the Non-Business Energy Property Tax Credits were prolonged through December 31, 2020. In order to receive the tax credit, you have to select 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 looking for furnace replacements, look for solutions with the ENERGY STAR rating so you can be sure you’re choosing a high-efficiency furnace.

At B & B Heating & Cooling, we’ll help you choose a product that fits 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 choose 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 won’t be the only savings you’ll find when you purchase a new high-efficiency furnace. A lot of the most efficient models can save you hundreds of dollars on your energy bills throughout the year. And you’ll also have greater confidence in your HVAC system to maintain your indoor space 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 getting a new high-efficiency furnace, give our experts at B & B Heating & Cooling a call at 314-325-7552. You may also visit ENERGY STAR or contact your local utility company if you have questions about other eligible home products.