Getting a New AC Unit
The year is coming to an end and so are the many tax benefits and credits you can use to save on a new AC unit. Many of these programs are going to sunset on December 31, 2016 and it does not appear likely that the federal government will extend them into 2017. If you are looking for an opportunity to save money on energy-saving upgrades to your Phoenix-area home, now is the time to take action.
Residential Central AC – There is a credit for purchasing a new air conditioning system that can put $300 back in your pocket. Not all units are eligible, so you will want to do your homework before making a purchase. This tax credit will expire on December 31.
Residential Air-Source Heat Pumps – Similar to air conditioning units, the federal government is also offering a $300 tax credit for all residential air-source heat pumps.
Gas, Oil, Propane Furnaces or Hot Water Boilers – Homeowners can qualify for a $150 tax credit by purchasing a newer, more energy efficient model for their homes.
Residential Gas, Oil, or Propane Water Heater – Homeowners who purchase a new water heater with an energy factor less than or equal to .82 can qualify for a $300 tax credit. Some units with a thermal efficiency greater than or equal to .90 can also qualify, so be sure your upgrade is eligible before installing.
Residential Electric Heat Pump Water Heater – Electric heat pump water heaters may also be eligible for a credit of $300. This unit must have an energy factor that is greater than or equal to 2.0.
Main Fan – If you purchase an advanced main air circulating fan, you can qualify for a $50 tax credit. This credit can be tricky, since the fan cannot consume more than 2% of the total furnace energy. It must also meet strict guidelines before the IRS will process the credit.
When you install these upgrades to your home, your HVAC contractor will supply you with the necessary forms to file with the IRS.
We invite you to contact Day & Night Air at 602-497-4662 for more information about these expiring tax credits. We are happy to answer your questions and help you find the most effective solutions to meet your specific needs. Our team of qualified professionals can go over all the options available, so you can choose the right equipment that qualifies for these tax credits per the IRS guidelines.