Here’s How to Qualify for Energy Efficient HVAC Tax Credit

Installing an energy-efficient HVAC system in your house can help improve indoor air quality and save your hard earned money on higher energy bills. In addition, you can claim a federal tax credit by installing an energy-efficient heating and cooling system.

Most homeowners must learn how to qualify for energy-efficient HVAC tax credit and miss out on the biggest opportunity. IRS offers a 25c tax credit equal to 10% of the installation costs to homeowners who make qualified energy-efficient improvements in their houses. To qualify for the energy-efficient HVAC tax credit, you must take specific steps to showcase your appropriate work to IRS.

If you’re still determining whether you’re eligible for energy-efficient HVAC tax credit, this write-up is exclusively for you. Please learn about the eligibility criteria and how to qualify for this tax without making any costlier mistakes.

HVAC tax credit

Energy Efficient Tax Credit: A Brief Overview

The US government offers homeowners excellent tax incentives for installing energy-efficient heating and cooling systems. The prime objective of this tax credit is to encourage homeowners to upgrade their HVAC systems to save money and power in the long run.

If you’re living in the United States, you can claim a federal tax credit of up to $300 for installing a new HVAC system that meets energy-efficient requirements. Eligible HVAC systems include air conditioners, heat pumps, and hot water boilers that generate at least 90% of their heat output from electricity.

Energy-efficient HVAC tax credits can significantly reduce the cost of upgrading to more energy-efficient HVAC units and encourage homeowners to take immediate action.

Benefits of Energy-Efficient HVAC System

Along with qualifying for excellent tax incentives, you can enjoy the additional benefits of installing an energy-efficient HVAC unit. For example:

  •         Reduced carbon footprint
  •         Reduced monthly utility bills
  •         Reduced risk of severe health problems

How to Qualify for Energy Efficient HVAC Tax Credit

You can claim an energy-efficient tax credit to increase your energy efficiency by 10% or more. To avail of this opportunity, you must install a new HVAC system within the tax year and complete the necessary paperwork.

In some cases, IRS requires you to exceed $500 in total for installation and maintenance to qualify for the tax credit. Sometimes, the IRS issues energy efficiency tax credits of up to $1500 for cooling and heating systems to boost your energy efficiency by 50%.

Meeting the eligibility criteria for energy-efficient HVAC tax credit is a challenging task. So, you must work with professional and licensed contractors to complete the process seamlessly. We at Diamond Air Design can help design and install an HVAC system that meets all the requirements so that you can enjoy the advantages of tax incentives.

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Richard Orlando
Richard Orlando
December 29, 2022
Professional all the way! Hunter is the man and I would recommend this company to anyone.
S Reyes
S Reyes
December 15, 2022
Great family owned business. They show up when they say they will and do great work!
Michael C
Michael C
September 30, 2022
I engaged Diamond Air Design to replace two heat pump systems at my residence. From my initial contact to the completion of the project, I received nothing but the highest level of professional service. Brandon and his installation team did meticulous work, completing the project on time and exactly as promised. Diamond Air is a family-owned business with a sterling reputation. From my experience I understand exactly how they attained and why they deserve that reputation. Highly recommended.
Dennis Wilson
Dennis Wilson
September 19, 2022
Excellent installation of thermostat and HVAC unit and ‘fine-tuning’ the unit. Technician very courteous and informative.
Myda Young
Myda Young
September 7, 2022
This is one of the 3 companies I had out to my house. I’m very happy Diamond Air was one I contacted. They offered exactly what I needed, did not upsell me and were right on target on what would solve my issue. Preston, my Service Tech, was ready to answer my questions, was super knowledgeable, professional and just a charm beaming with honesty, kindness and all I could pray for in a service tech. You will not be disappointed putting your A/C equipment in their hands! Thank you Diamond Air Team! You have my business.
DarinJon Christopher
DarinJon Christopher
September 6, 2022
Just another Professional service from Diamond Air Design. We started using this company when Brandon was just starting his business and learning from his dad. His Mom was in the office and we loved it was family assisting other families whom needed help. Preston the young gentleman who came today was very professional and a service tech who explained everything as I like to know what's going on with my equipment.Thank you Sir and I hope you continue to make your career with Brandon's team as you continue to learn. Thanks again Diamond
Ronald Specker
Ronald Specker
August 11, 2022
I had an American Standard Platinum HVAC System installed. Brandon, Stewart, and Preston did the install work. They were scheduled to start at 8:00 am. Stewart arrived at 7:45 am and immediately went to work. Brandon and Preston arrived at 8:00 am with the new HVAC System. I tried to offer them drinks and something to eat but they were more concerned with completing the job. The crew was absolutely fantastic. They completed the install work in about 7 hours. They never stopped working until the job was completely finished. They did an outstanding job installing the new system. The company even filed my warranty paper work for me. I had to do nothing but sit back at let them do all the work, from the install, warranty registration, and setting up the county inspection. They even provided financing for 0% interest rate for 60 months. I would ABSOLUTELY recommend Daimond Air Design for HVAC System Replacement!!!


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