Family enjoying the comfort of home

Can I get a tax credit for my new furnace?

For most homeowners, there typically seems to be a large list of home improvement projects that they would like to complete or new ideas they’d like to give a shot. While several may not be necessities, furnace replacement is an example of a project that could be critical to keeping your home comfortable during the colder months in Suffolk/Nassau County.

Purchasing a new furnace is a large investment. You’ll definitely feel 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 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 obtain the tax credit, you must purchase 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 shopping for furnace replacements, look for products with the ENERGY STAR rating so you can be certain you’re selecting a high-efficiency furnace.

At Airmax Long Island Inc, the experts will help you select a product that matches your needs and ensures you qualify for this tax credit. While ENERGY STAR products indicate high efficiency, it’s important to check the furnace you pick 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 products can save you hundreds of dollars on your energy bills all year long. And you’ll also have more confidence in your HVAC system to keep your house at just the right temperature.

If you come across questions about your eligibility for a tax credit, or if there are further local savings you could be eligible for by buying a new high-efficiency furnace, give our experts at Airmax Long Island Inc a call at 631-737-5566. You may also visit ENERGY STAR or contact your local utility company if you have questions about other eligible home products.

Back To Blog