Furnace & Air Conditioner Tax Credits

Tax credits are now available for home improvements:

must be placed in service from January 1, 2009 through December 31, 2010
must be for taxpayers principal residence
$1,500 is the maximum total amount that can be claimed for all products placed in service in 2009 & 2010 for most home improvements, EXCEPT for geothermal heat pumps, solar water heaters, solar panels, fuel cells, and windmills which are not subject to this cap, and are in effect through 2016
must have a Manufacturer Certification Statement to qualify
for record keeping, save your receipts and the Manufacturer Certification Statement
improvements made in 2009 will be claimed on your 2009 taxes (filed by April 15, 2010) — use IRS Tax Form 5695 (2009 version) — it will be available late 2009 or early 2010
If you are building a new home, you can qualify for the tax credit for geothermal heat pumps, photovoltaic's, solar water heaters, small wind systems and fuel cells, but not the tax credits for windows, doors, insulation, roofs, HVAC, or non-solar water heaters. More.

Central A/C	Split Systems: EER >=13 SEER >= 16 Package systems: EER >= 12 SEER >= 14	30% of cost, up to $1,500


Air Source Heat Pumps	Split Systems: HSPF >= 8.5 EER >= 12.5 SEER >= 15 Package systems: HSPF >= 8 EER >= 12 SEER >= 14	30% of cost, up to $1,500

Natural Gas or Propane Furnace	AFUE >= 95	30% of cost, up to $1,500
ENERGY STAR Spec: Gas Furnaces: AFUE >= 95 Oil Furnaces: AFUE >= 85 Boilers: AFUE >= 85



Subject to a $1,500 maximum per homeowner for all improvements combined.