Can I Get a Tax Credit for My New Furnace?

For most homeowners, there always seems to be a long list of home improvement to-do’s that they want to get done or new ideas they’d like to attempt. While several may not be necessities, furnace replacement is a job that might be key to keeping your home comfortable during the colder months in Bartlesville.

Getting a new furnace is a sizeable investment. You’ll absolutely recognize the return-on-investment on your indoor comfort as well as your energy bills, but it might be a little overwhelming at first. The good news is that when you pick a new energy-efficient furnace, you may be approved 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 receive the tax credit, you must 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, watch for heat pumps with the ENERGY STAR rating so you can be confident you’re choosing a high-efficiency furnace.

At Farris Heating & Air, we’ll help you choose an option that fits your needs and helps 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 indicates the percent of heat produced for every dollar of fuel consumed.

This tax credit won’t be the only savings you’ll observe when you purchase a new high-efficiency furnace. A lot of the most efficient furnaces can save you hundreds of dollars on your energy costs during the year. And your household will also have higher confidence in your HVAC system to keep your house at just the right temperature.

If you have questions regarding your eligibility for a tax credit, or if there are further local savings you might be eligible for by getting a new high-efficiency furnace, give our teams at Farris Heating & Air a call at 918-333-0376. You could also visit ENERGY STAR or contact your local utility establishment if you have questions about other eligible home products.