Tax Credits to Take Advantage of Before the End of the Year

Tax Credits to Take Advantage of Before the End of the YearAs the remaining days of 2016 dwindle down to the double-digits, the opportunity to take advantage of HVAC tax credits is also waning. The status of federal tax credits year-to-year is always uncertain, so its important to act when and while you can. You’ll receive significant compensation for installing new HVAC equipment and making ancillary improvements like insulation and ductwork.

There are other perks, too: Upgrading to the current, more efficient technology will lower your heating and/or cooling operating costs as well as improve household comfort. More options and features and better warranty terms are also part of the deal.

Don’t let 2016 pass you by without considering these HVAC tax credits:

Air Conditioner and Furnace

A $300 federal tax credit is available on the purchase of a high-efficiency central air conditioner with SEER rating of 16 or better.

For heating, you may be eligible for a $150 credit on a gas-fired furnace with an AFUE rating of at least 95 percent, plus an extra $50 if you upgrade to an efficient variable speed system blower.

An air source heat pump with cooling efficiency of SEER of 16 and heating HSPF of at least 8.5 is eligible for a $300 federal tax credit.

Water Heater

Upgrade a gas-fired water heater to a new model with an AFUE of 90% or more and a thermal efficiency of at least 0.82 and claim a $300 tax credit. Same credit applies to purchase of a heat pump water heater.

Home Insulation

Tax credits up to $500 are available for adding insulation to critical areas like the attic to meet Department of Energy efficiency standards. This credit applies to fiberglass batts, blown-in fiberglass or cellulose and spray foam.

While Indiana has no public-funded state incentives for HVAC upgrades, some local utilities like Wabash Valley Power and Duke Energy do offer rebates for HVAC equipment and measures that increase household energy efficiency. Check with your specific utility for more information.

Don’t miss the chance to get 2016 tax credits for upgrading home HVAC equipment. Contact Paitson Bros., Terre Haute’s established heating and cooling provider since 1922.

Our goal is to help educate our customers in Terre Haute, Indiana about energy and home comfort issues (specific to HVAC systems). For more information about TOPIC and other HVAC topics, download our free Home Comfort Guide or call us at 812-645-6859.

Credit/Copyright Attribution: “maialisa/Pixabay”

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    Jeff Paitson Jeff Paitson is a third generation business owner who continues to run the business with the same values that have been passed down from previous generations since 1922.

    Jeff’s belief is that the business belongs to Jesus Christ; therefore 10 percent of the company’s profits go toward the Maryland Community Church.

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    Ethan Ethan Rayburn is a lifelong resident of Terre Haute and a 2005 graduate of Purdue University.

    An Eagle Scout, Ethan spent four years as a non-profit executive with the Boy Scouts of America before joining Paitson Bros. as a comfort advisor and later General Manager. In that role, Ethan has brought a renewed enthusiasm for customer care, integrity, value, and service to Paitson Bros. Heating & Air Conditioning.

    Ethan enjoys singing and was a member of the Purdue Varsity Glee Club. He also enjoys playing and coaching soccer, spending time with his family and two young boys, and volunteering his time and resources with his church, Terre Haute First Baptist Church, which he has attended from a very young age.
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