Can I earn a tax credit for my new heat pump?

April 08, 2020

For a lot of households, there typically seems to be a lengthy list of home projects that they need to get done or new ideas they’d like to attempt. While some may not be necessary, buying a new heat pump is an example of a task that could be vital to keeping your home comfortable through the chillier months in Laguna Niguel.

Selecting a new heat pump is a great investment. You’ll definitely realize the return-on-investment on your indoor comfort in addition to your utility costs, but it might be a bit intimidating at first. The good news is that when you purchase a new energy-efficient heat pump, you may be qualified for a federal tax credit.

According to ENERGY STAR®, the Non-Business Energy Property Tax Credits were extended through December 31, 2020. In order to get the tax credit, you must purchase a heat pump that has earned the ENERGY STAR label. When shopping for heat pumps, keep an eye out for solutions with the ENERGY STAR rating so you can be confident you’re selecting a high-efficiency heat pump.

At Ocean Air Conditioning and Heating , we’ll help you find a solution that matches your needs and helps you qualify for this tax credit. While ENERGY STAR products designate high efficiency, it’s important to confirm the heat pump you purchase has the following requirements.

For Split Systems:

  • Heating Seasonal Performance Factor (HSPF): 8.5 or higher
  • Energy Efficiency Ratio (EER): 12.5 or higher
  • Seasonal Energy Efficiency Ratio (SEER): 15 or higher

 

For Package Systems:

  • HSPF: 8 or higher
  • EER: 12 or higher
  • SEER: 14 or higher

 

Qualifying for the tax credit will not be the only savings you’ll observe when you buy a new high-efficiency heat pump. Some of the most efficient models can save you hundreds of dollars on your energy costs during the year. And you’ll also have higher confidence in your HVAC system to keep your house at just the right comfort level.

Whether you think of questions concerning your eligibility for a tax credit, or if there are additional local savings you may be eligible for by purchasing a new high-efficiency heat pump, give our team at Ocean Air Conditioning and Heating a call at 949-525-9119. You may also visit ENERGY STAR or reach out to your local utility establishment if you have questions about other eligible home products.