As far as energy-efficient HVAC installation in Oklahoma City, there’s good news for homeowners at tax time.
The Residential Energy Efficient Property Credit will now go through 2020. This could entitle you to credits for energy-efficient home modifications, like modern heating and cooling units, water heaters and heat pumps.
What Are the Eligibility Requirements?
To qualify for the incentive, the house is required to be the taxpayer’s primary house in the United States. The improvement needs to have a life of a minimum of five years, with the initial use beginning with the homeowner.
What Kinds of Improvements are Eligible to be High-Efficiency Renovations?
Usually, this tax credit is equivalent to 10% of the cost of the following energy-saving enhancements that meet specific ENERGY STAR® conditions:
- Advanced main air-circulating fans
- Energy-efficient gas, propane or oil furnaces
- Energy-efficient gas, propane or oil hot water boilers
- Energy-efficient heat pumps
- Energy-efficient water heaters
- Energy-efficient central air conditioners
- Insulation
- Certain metal and asphalt roofing
- Energy-efficient exterior storm windows, skylights and storm doors
- Solar/geothermal energy products, like solar electricity, solar water heaters and geothermal heat pumps
Am I Limited to Claiming a Certain Amount?
Yes, there’s a lifetime restriction of $500 per home. This means if you have used this incentive in previous years, you should reduce any credit you previously claimed.
If you have claimed the top amount, you won’t qualify for any other incentives under this continuation.
Credit Maximums for Certain Items
Credits have a limit for a couple of participating items:
- Windows and skylights—$200
- Advanced main air circulation—$50
- Hot water boilers—$150
- Energy-efficient units—$300
If you have questions about how you can benefit from the extension of the residential energy efficient property tax credit, download Form 5695 or contact your tax advisor for assistance.
Enhance Your Heating and Cooling Units Today
Been procrastinating getting new heating and cooling equipment? Call the Experts at 405-432-2197 or contact us online. We can help you choose an energy-efficient system you can earn tax benefits during the upcoming year.