When it comes to energy-efficient HVAC installation in San Antonio, there’s good news for homeowners at tax time.
The Residential Energy Efficient Property Credit has been lengthened through 2020. This might entitle you to reductions for energy-efficient home improvements, like new heating and cooling equipment, water heaters and heat pumps.
What Are the Eligibility Requirements?
To qualify for the reduction, the home should be the taxpayer’s main house in the USA. The improvement needs to have a life of five years or more, with the initial use originating with you.
What Varieties of Changes are Regarded as High-Efficiency Updates?
Typically, this tax reduction is equivalent to 10% of the price of the following energy-saving improvements that meet specific 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
- Qualified metal and asphalt roofing
- Certain exterior storm windows, skylights and storm doors
- Solar/geothermal energy equipment, 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 limitation of $500 per home. This means if you have used this credit in past years, you must reduce any credit you already claimed.
If you have claimed the top amount, you won’t be eligible for any other incentives through this continuation.
Credit Maximums for Certain Items
Incentives are restricted for a few qualified solutions:
- 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 System Today
Been procrastinating upgrading your heating and cooling system? Call the Experts at 210-570-9705 or contact us online. We can help you select an energy-efficient system you can reap tax benefits from the following year.