How to Get the Residential Energy Efficiency Property Credit in West Chester in 2020
In regard to energy-efficient HVAC installation in West Chester, there’s fantastic news for you at tax time.
The Residential Energy Efficient Property Credit has been lengthened through 2020. This might qualify you for credits for energy-efficient home enhancements, like new heating and cooling systems, water heaters and heat pumps.
How Do I Know if My Equipment Qualifies?
To become eligible for the incentive, the house should be the taxpayer’s chief residence in the United States. The improvement should work for at least five years, with the original use originating with you.
What Varieties of Changes are Regarded as High-Efficiency Upgrades?
Typically, this tax credit equals 10% of the price of the ensuing energy-saving improvements that meet specified ENERGY STAR® guidelines:
- Advanced main air-circulating fans
- Energy-efficient gas, propane or oil furnaces
- Energy-efficient gas, propane or oil hot water boilers
- Energy-efficient heat pumps
- Energy-efficient water heaters
- Energy-efficient central air conditioners
- Qualified metal and asphalt roofing
- Particular exterior storm windows, skylights and storm doors
- Solar/geothermal energy solutions, for example solar electricity, solar water heaters and geothermal heat pumps
How Much Can I Claim?
Yes, there’s a lifetime limitation of $500 per home. This means if you have claimed this incentive in past years, you must lower any credit you already claimed.
If you have claimed the max amount, you aren’t eligible for any other reductions with this expansion.
Credit Limits for Certain Equipment
Tax reductions are limited for some qualified solutions:
- Windows and skylights—$200
- Advanced main air circulation—$50
- Hot water boilers—$150
- Energy-efficient units—$300
If you have questions about how you can benefit from the extension of the residential energy efficient property tax credit, download Form 5695 or contact your tax advisor for assistance.
Improve Your Heating and Cooling Equipment Today
Been procrastinating installing new heating and cooling equipment? Call the Experts at 484-401-7577 or contact us online. We can help you find an energy-efficient system you can get tax benefits from the following year.