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

For many families, there typically seems to be a lengthy list of home projects that they would like to achieve or new ideas they’d like to do. While a few may not be necessities, getting a new heat pump is an example of a job that could be key to keeping your indoor space comfortable during the cooler months in Buellton.

Purchasing a new heat pump is a great investment. You’ll absolutely feel the return-on-investment on your indoor comfort in addition to your energy bills, but it may be a little daunting at first. The good news is that when you buy a new energy-efficient heat pump, you could be eligible 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 obtain the tax credit, you must buy a heat pump that has received the ENERGY STAR label. When researching heat pumps, look for solutions with the ENERGY STAR rating so you can be sure you’re getting a high-efficiency heat pump.

At Allstar Heating & Air Conditioning, our team will help you choose a solution that fits 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 choose 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 is not going to be the only savings you’ll receive when you get a new high-efficiency heat pump. Several of the most efficient models can save you hundreds of dollars on your energy bills all year long. And your household will also have greater confidence in your HVAC system to help your home stay at just the right temp.

If you have questions about your eligibility for a tax credit, or if there are other local savings you could be eligible for by purchasing a new high-efficiency heat pump, give our pros at Allstar Heating & Air Conditioning a call at 805-242-9638. You could also visit ENERGY STAR or reach out to your local utility company if you have questions about other eligible home products.

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