Can I Get Tax Credits for My New Furnace?

For a lot of families, there usually seems to be a lengthy list of home improvement tasks that they would like to do or new ideas they’d like to give a shot. While several may not be required, furnace replacement is one project that may be key to keeping your home comfortable throughout the winter months in Omaha.

Getting a new furnace is a large investment. You’ll certainly notice the return-on-investment on your indoor comfort along with your utility costs, but it may be a bit daunting at first. The good news is that when you shop for a new energy-efficient furnace, you could be approved 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 have to purchase a furnace that has earned the ENERGY STAR label. It cannot be a furnace that is labeled ENERGY STAR for “U.S. South Only.” When researching furnace replacements, keep an eye out for solutions with the ENERGY STAR rating so you can be confident you’re picking a high-efficiency furnace.

At The Frazier Company, we’ll help you determine an option that matches your needs and helps you qualify for this tax credit. While ENERGY STAR products signify high efficiency, it’s important to check the furnace you choose has an Annual Fuel Utilization Efficiency (AFUE) greater than 95, in order to qualify for the tax credit. AFUE means the percent of heat produced for every dollar of fuel consumed.

Taking advantage of this opportunity is not going to be the only savings you’ll observe when you get a new high-efficiency furnace. A lot of the most efficient models can save you hundreds of dollars on your utility costs throughout the year. And your household will also have greater confidence in your HVAC system to help your home stay at just the right temp.

If you think of questions about your eligibility for a tax credit, or if there are other local savings you might be eligible for by purchasing a new high-efficiency furnace, give our technicians at The Frazier Company a call at 402-628-0206. You can also visit ENERGY STAR or contact your local utility establishment if you have questions about other eligible home products.