Can I Receive a Tax Credit for My New Furnace?

For many families, there always seems to be a lengthy list of home improvement to-do’s that they need to complete or new ideas they’d like to attempt. While some may not be required, furnace replacement is a task that could be critical to keeping your home comfortable through the winter months in Long Island.

Purchasing a new furnace is a great investment. You’ll absolutely notice the return-on-investment on your indoor comfort along with your energy costs, but it could be a tad intimidating at first. The good news is that when you shop for a new energy-efficient furnace, you might be approved for a federal tax credit.

According to ENERGY STAR®, the Non-Business Energy Property Tax Credits were pushed through December 31, 2020. In order to get the tax credit, you have to buy 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, look for products with the ENERGY STAR rating so you can be confident you’re picking a high-efficiency furnace.

At Airmax Long Island, the experts will help you choose an option that fits your needs and ensures you qualify for this tax credit. While ENERGY STAR products designate high efficiency, you will want 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 represents the percent of heat produced for every dollar of fuel consumed.

Taking advantage of this opportunity will not be the only savings you’ll observe when you buy a new high-efficiency furnace. Some of the most efficient solutions can save you hundreds of dollars on your utility costs all year long. And your family will also have more confidence in your HVAC system to keep your house at just the right temperature.

If you have questions concerning 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 technicians at Airmax Long Island a call at 631-737-5566. You can also visit ENERGY STAR or contact your local utility establishment if you have questions about other eligible home products.