NC Tax Credit Information Air Conditioning & Heating Systems, 2011

HOME ENERGY EFFICIENCY IMPROVEMENT TAX CREDITS

Breaking: Federal Tax Credits For HVAC Extended Through 2011

President Obama has signed into law a tax bill that extends HVAC tax credits for two years, but reduced the HVAC tax credit from $1,500 to less than $500 for qualifying HVAC equipment. The Middle Class Tax relief Act of 2010 contains a $500 tax credit for qualifying HVAC equipment for 2011. Forty one of the more than 100 expiring tax credit programs were eliminated from the new package. The bill restores the lifetime cap and the individual equipment limits that were eliminated by the Stimulus Bill in 2009.

These are the new efficiency standards required in order to apply for the tax credits for 2011:

• Furnaces ($150): must have at least a 95% AFUE (*oil furnaces and boilers returned to the single furnace category at 95% AFUE)
• Advanced main air circulating fan ($50): must utilize less than 2% of a furnace’s total energy consumption
• Central air conditioner ($300): must have a SEER of at least 16 and an EER of at least 13
• Electric heat pump ($300): must have at least an HSPF of 9, SEER of 16, and EER of 13
• Biomass fuel stove ($300): must have thermal efficiency rating of at least 75 percent (*no longer specifies using lower heating value)

I would strongly recommend that if you need a new furnace, or are even thinking of replacing your heating and air conditioning system, call one of our Brothers Replacement Specialists right now to schedule your installation now to take advantage of the HVAC Tax Credits. Just call 1-800-849-2881 now to schedule a FREE, no-obligation in-home estimate.

ABOUT TAX CREDITS
A tax credit is generally more valuable than an equivalent tax deduction because a tax credit reduces tax dollar-for-dollar, while a deduction only removes a percentage of the tax that is owed. Consumers can itemize purchases on their federal income tax form, which will lower the total amount of tax they owe the government. Energy-efficient appliances and products provide many benefits such as fewer emissions, lower energy bills, increased indoor comfort, and reduced air pollution.