Save Money on New Efficient Systems in Your Home

March 2020

Promotional ad for potential $500 tax credit for new energy efficient HVAC installation

Now a New Furnace or AC Comes with Extra Benefits!

The federal government is giving homeowners a tax credit for making their home more energy efficient. It is extending a tax credit for homeowners who’ve had new systems installed in their homes that meet certain qualifications. And great news – there is still plenty of time to take advantage of this energy efficiency property credit!

How Much Money Can You Save?

Cash money iconDepending on the product or system you had (or will get) installed, you could see a tax credit for several hundred dollars. Some of the products qualify you for a credit of 10% of the cost up to a total of $500. Other products have specific credit values ranging from $50 to $300.

Which Products Does this Include?

This is a Federal Energy Tax Credit. These are federal incentives to increase the efficiency in homes across the country.  You have an opportunity for this money saving opportunity because of the energy saving investments you made in your home. This credit is only for an HVAC system or property placed in service in a home. Therefore, the products that qualify you for this tax credit have specifications regarding their level of energy efficiency.

What that means is a higher SEER rating on a newly installed air conditioner. If your new AC is listed as an ENERGY STAR Most Efficient product, than it should qualify.  Central air conditioner systems qualify for a credit of up to $300.

When it comes to heating systems, you will be looking to get a furnace or boiler with an AFUE rating of at least 95. Propane, natural gas and oil furnaces and boilers can result in a saving of up to $150.

The types of products that qualify include:

    • High efficient furnace with high AFUE that qualifies for federal energy tax creditHigh efficient AC with high SEER rating that qualifies for energy tax creditFurnaces
    • Air Conditioner Systems
    • Heat Pumps
    • Hot Water Boilers
    • Water Heaters
    • Circulating Fans

These products must be installed in your home to qualify. This is not a credit for businesses. For the full list of what products qualify and how much each qualifies for, check out the property tax credit list on

For some information on how to apply to receive your federal tax credit regarding energy efficient installations, check out Energy Star’s Tax Credit website. There you will also find links to various tax forms and contact information for the IRS.

Deadline to Get the Credit

cash money iconThis tax credit is one that is in effect now and through the end of this year. You have until December 31, 2020 to get a new energy-efficient system put into your home to take advantage of this savings.

 If you had a new home comfort system installed in the last couple of years, you may still be in luck! This tax credit is retroactive all the way back to 2018. So you still can get the savings on systems and products you’ve already had recently installed.

Want to take advantage of this tax credit before it’s too late? Call us! Standard Plumbing, Heating & Air are Manhattan’s heating and cooling experts. We can provide you with a new furnace or air conditioning system or even a complete HVAC package in time for you to qualify for this tax credit. We install high-end, energy-efficient systems that will improve the comfort in your home. You can expect to also see a saving on your monthly energy bill with newer systems working more efficiently in your home.

Request a free estimate for a new system for your home online or by calling us at (785) 776-5012.


Related Tax Credits to Homeowners

In addition to this HVAC energy tax credit, you’ll find other home improvement products also qualify for a credit. This includes new insulation, roofs, windows and doors. However, the credit for these improvements does not include installation costs.

Ask the Professionals

While we can address any problem or question you have about heating and air systems, remember that we are HVAC experts, not tax experts. For more in-depth questions on who can qualify and instruction on applying for tax credits, you will want to see a tax professional.