As far as energy-efficient HVAC installation in Waukegan, there’s fantastic news for your family at tax time.
The Residential Energy Efficient Property Credit has been extended through 2020. This may entitle you to credits for energy-efficient home enhancements, like new heating and cooling units, water heaters and heat pumps.
What Makes My Purchase Eligible?
To become eligible for the reduction, the house should be the taxpayer’s main home in the U.S. The improvement must work for a minimum of five years, with the initial use beginning with the homeowner.
What Kinds of Enhancements are Eligible to be High-Efficiency Updates?
Usually, this tax credit equals 10% of the price of the subsequent energy-saving improvements that match particular ENERGY STAR® guidelines:
- Advanced main air-circulating fans
- Energy-efficient gas, propane or oil furnaces
- Energy-efficient gas, propane or oil hot water boilers
- Energy-efficient heat pumps
- Energy-efficient water heaters
- Energy-efficient central air conditioners
- Insulation
- Qualified metal and asphalt roofing
- Particular exterior storm windows, skylights and storm doors
- Solar/geothermal energy solutions, like solar electricity, solar water heaters and geothermal heat pumps
Is There a Limit to How Much I Can Claim?
Yes, there’s a lifetime cap of $500 per home. This means if you have used this reduction in prior years, you should decrease any credit you previously claimed.
If you have claimed the top amount, you aren’t eligible for any other credits under this extension.
Credit Limits for Particular Equipment
Credits are restricted for certain participating equipment:
- Windows and skylights—$200
- Advanced main air circulation—$50
- Hot water boilers—$150
- Energy-efficient systems—$300
If you have questions about how you can benefit from the extension of the residential energy efficient property tax credit, download Form 5695 or contact your tax advisor for assistance.
Improve Your Heating and Cooling Equipment Today
Been procrastinating installing new heating and cooling units? Talk with the Experts at 847-306-8730 or contact us online. We can help you select an energy-efficient system you can reap tax benefits from the next year.