In January 2013, Congress approved a bill to reinstate tax credits for certain small businesses. These tax breaks originally expired in 2011; however, they're now valid until December 31, 2013. The bill is of particular interest to Cincinnati homeowners, as HVAC tax credits are now available for the installation of qualified energy-efficient appliances.

The 25C tax credits allow a homeowner to claim a maximum of $500 in energy-efficient HVAC improvements by the end of 2013. The tax credits are also retroactive, so those upgrades made in 2012 are also eligible. 

Equipment that qualifies for HVAC tax credits

• Water heaters - A $300 tax credit is relevant for electric pump water heaters with a minimum energy factor (EF) of 2.0. 
• Furnaces - A $150 tax credit is available for natural gas-, propane- and oil-powered furnaces with an annual fuel utilization efficiency (AFUE) of at least 95 percent.
• Boilers - A $150 dollar tax credit is available for natural gas-, propane- and oil-powered boilers with a minimum AFUE of 95 percent.
• Advanced main air circulating fan - A $50 tax credit is available for circulating fans which run on natural gas, propane or oil and do not exceed an annual electricity use of 2 percent.
• Air conditioners and heat pumps - A $300 tax credit is available for split-system and packaged central air conditioners and electric heat pumps with the highest efficiency Consortium for Energy Efficiency tier. That means a 16 SEER and 13 EER for split-system central air conditioners; 14 SEER (seasonal energy efficiency ratio) and 12 EER (energy efficiency ratio) for packaged central A/Cs; 8.5 HSPF, 12.5 EER and 15 SEER for split-system electric heat pumps; and 8.0 HSPF, 12.0 EER and 14 SEER for packaged electric heat pumps.

If you want to find out more about the value of HVAC tax credits and how you could benefit, contact the pros at JonLe Heating & Cooling. We proudly serve homeowners throughout Butler County and the Greater Cincinnati area.

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