As far as energy-efficient HVAC installation in Orlando, there’s good news for your family at tax time.
The Residential Energy Efficient Property Credit will now go through 2020. This might entitle you to reductions for energy-efficient home improvements, like updated heating and cooling systems, water heaters and heat pumps.
How Do I Know if My Equipment Qualifies?
To qualify for the credit, the residence should be the taxpayer’s chief house in the U.S. The improvement must last for at least five years, with the original use beginning with you.
What Kinds of Improvements are Considered High-Efficiency Updates?
Generally, this tax reduction corresponds with 10% of the expense of the subsequent energy-saving enhancements that meet certain ENERGY STAR® requirements:
- 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
- Particular metal and asphalt roofing
- Certain exterior storm windows, skylights and storm doors
- Solar/geothermal energy equipment, for example solar electricity, solar water heaters and geothermal heat pumps
Is There a Limit to How Much I Can Claim?
Yes, there’s a lifetime maximum credit of $500 per home. This means if you have used this incentive in prior years, you are required to lower any credit you previously claimed.
If you’ve previously claimed the highest amount, you won’t be eligible for any other incentives through this expansion.
Credit Maximums for Particular Items
Tax reductions have a limit for certain eligible equipment:
- Windows and skylights—$200
- Advanced main air circulation—$50
- Hot water boilers—$150
- Energy-efficient systems—$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 System Today
Been delaying installing new heating and cooling units? Reach the Experts at 407-329-7661 or contact us online. We can help you select an energy-efficient system you can get tax benefits during the upcoming year.