Family enjoying the comfort of home

Can I get a tax credit for my new furnace?

For most families, there typically seems to be a large list of home improvement tasks that they want to complete or new ideas they’d like to give a shot. While a handful may not be necessities, furnace replacement is a task that could be key to keeping your home comfortable throughout the cooler months in West Valley City.

Getting a new furnace is a sizeable investment. You’ll definitely feel the return-on-investment on your indoor comfort along with your energy bills, but it may be a little daunting at first. The good news is that when you pick a new energy-efficient furnace, you could be qualified 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 get the tax credit, you must buy 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, watch for products with the ENERGY STAR rating so you can be confident you’re choosing a high-efficiency furnace.

At Select Comfort System Heating & Air Conditioning, the experts will help you identify an option that meets your needs and helps you qualify for this tax credit. While ENERGY STAR products signify high efficiency, you will want to clarify that the furnace you choose has an Annual Fuel Utilization Efficiency (AFUE) greater than 95, in order to qualify for the tax credit. AFUE means the percent of heat produced for every dollar of fuel consumed.

Qualifying for the tax credit is not going to be the only savings you’ll receive when you purchase a new high-efficiency furnace. Many of the most efficient furnaces can save you hundreds of dollars on your energy bills during the year. And you’ll also have more confidence in your HVAC system to help your home stay 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 may be eligible for by purchasing a new high-efficiency furnace, give our technicians at Select Comfort System Heating & Air Conditioning a call at 801-305-4777. You may also visit ENERGY STAR or contact your local utility establishment if you have questions about other eligible home products.

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