Tax Incentives | Home Heating & Air Conditioning

On February 17, 2009, President Obama signed a stimulus bill (The American Recovery and Reinvestment Act of 2009) that made some significant changes to the energy efficiency tax credits.

This bill is designed to encourage consumers to purchase high-efficiency gas forced air heating, boilers, heat pumps, and air conditioning or cooling equipment.

Equipment must be placed in service from January 1, 2009 through December 31, 2010 and be for the taxpayers principal residence.

For qualified improvements, homeowners may be able to claim tax credits equal to 30 percent of the installed costs (up to $1,500). The new tax credits are retroactive to January 1, 2009 and expire on December 31, 2010. The $1,500 limit is for all improvements made during the two-year term, rather than $1,500 each year.

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Education

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• tax incentive
• home tax
• efficiency
• tax credit