Can I Get Tax Credits for My New Furnace?

For a lot of households, there always seems to be a large list of home improvement to-do’s that they need to do or new ideas they’d like to try. While some may not be necessary, furnace replacement is one job that may be key to keeping your home comfortable through the winter months in Houston.

Getting a new furnace is a large investment. You’ll absolutely recognize the return-on-investment on your indoor comfort in addition to your utility costs, but it might be a tad intimidating at first. The good news is that when you select 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 obtain the tax credit, you are required 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 looking for furnace replacements, look for solutions with the ENERGY STAR rating so you can be sure you’re choosing a high-efficiency furnace.

At 249 Air, our team can help you determine a product that matches your needs and helps you qualify for this tax credit. While ENERGY STAR products indicate high efficiency, you will want to confirm the furnace you choose 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 is not going to be the only savings you’ll receive when you get a new high-efficiency furnace. A lot of the most efficient products can save you hundreds of dollars on your utility costs throughout the year. And your family will also have higher confidence in your HVAC system to maintain your indoor space at just the right temp.

If you come across questions regarding your eligibility for a tax credit, or if there are additional local savings you might be eligible for by purchasing a new high-efficiency furnace, give our teams at 249 Air a call at 832-263-1969. You may also visit ENERGY STAR or contact your local utility company if you have questions about other eligible home products.