Government Retroactively Extend HVAC and Water Heating Tax Credits

Government Retroactively Extend HVAC and Water Heating 25C Tax Credits

On January 2, 2013 President Obama signed legislation designed to avoid the “fiscal cliff” and keep tax rates from increasing for every American who pays taxes.

The bill retroactively reinstates the 25C tax credits for high efficient HVAC and water heating equipment that expired at the end of 2011.

The bill extends the tax credits that expired in 2011 from January 1, 2012, until December 31, 2013, for qualified equipment listed in Section 25C of the Internal Revenue Code. Because the credits were made retroactive to January 1, 2012, they can be used for qualified heating and cooling equipment that was installed any time after December 31, 2011.

SEE IRS FORM 5695

Gas furnaces with a 95% AFUE or higher will get you a $150.00 tax credit.

Variable Speed Circulating fans will add $50.00 to your credit.

Air Conditioners with a 16 SEER and a 13 EER will get you a $300.00 tax credit.

Heat Pumps with a 15 SEER, 12.5 EER and a 8.5 HSPF will get you a $300.00 tax credit.

If you have any questions, please let us know.

We have made great effort to contact our customers from last year and inform them of this tax credit.  But keep in mind if you did not purchase last year, the tax credit is still available, so give us a call.