QUALIFYING FOR THE TAX CREDIT

What can I do take advantage of the new energy tax incentives?

Homeowners can receive a substantial tax credit for home efficiency improvements on new high efficient air conditioners, heat pumps, furnaces, boilers and water heaters. Additionally, new high efficiency windows and additional home insulation qualify.

Are the tax credits different for geothermal heat pumps?

Yes, homeowners who install geothermal heat pump systems may be able to claim up to 30% of the installed costs in tax credits in the year the system is placed into service. However, there is no dollar limit to the credit on geothermal heat pumps. The geothermal tax credit also has a longer term, from January 1, 2009 and expires December 31, 2016.

What if I install a furnace that meets the 95% AFUE standard, but with a central air conditioner below the standard? Can I still claim the full $1,500?

Homeowners can claim 30% of the final installation costs up to $1,500 associated specifically with the 95% AFUE furnace. Should the installation costs associated with the furnace not reach $5,000, 30% of the installation cost can still be claimed and the difference between that amount and the $1,500 cap can be applied to any other qualifying improvements.

Can I use the entire $1,500 tax credit on a single qualifying home improvement?

Yes. Previous per-appliance caps that limited homeowners to just $150 for a high efficiency furnace or $300 for a high efficiency central air conditioner or heat pump have been removed.

What if I previously claimed tax credits in 2006 or 2007?

Homeowners that previously claimed tax credits in 2006 or 2007 are eligible to claim the full $1,500 limit.

How do I know which specific equipment or improvements qualify for the tax credits?

There are wide ranges of products available that qualify for the full tax credits. Schedule an appointment for a FREE consultation with a Peters Associates Consultant who will review all options available to you.

Can I claim the credit for improvements on a second home?

No. The tax credit is only available for improvement to the taxpayer's primary residence.

Can modular or mobile homeowners qualify?

Yes. As long as the improvements meet the qualifying criteria and the homeowner's primary residence they may claim the tax credit.

For a free consultation on energy-efficient heating and cooling equipment for your home, call 215-331-1900