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Federal tax credit for energy efficient appliances

2010 may be over, but that doesn’t mean you can’t still get a tax break for installing new energy efficient appliances! The new 2011 energy tax credit is different from the 2010 energy tax credit – for one thing, it is now worth 10% of the cost of your appliance (including installation costs), and it now maxes out at $500 (or, in some cases, a specific amount ranging from $50 – $300) instead of $1,500.

2011 energy tax credit for air conditioners

The energy tax credit for efficient air source heat pumps and central air conditioning units maxes out at $300. The efficiency requirements necessary to qualify for the 2011 energy tax credit are:

For heat pumps:

Split system – At least 8.5 HSPF, 12.5 EER, 15 SEER
Packaged system – At least 8 HSPF, 12 EER, 14 SEER

For central air conditioners:

Split system – At least 16 SEER, 13 EER
Packaged system – At least 14 SEER, 12 EER

2011 energy tax credit for heating units

The energy tax credit for efficient gas, propane and oil boilers and furnaces maxes out at $150. In order to qualify for the 2011 energy tax credit, your new furnace or boiler has to have an efficiency rating greater than or equal to 95 AFUE.

2011 energy tax credit for geothermal heat pumps

The energy tax credit program for geothermal heat pumps has not changed – that one goes until December 31, 2016. The energy tax credit is worth 30% of the entire installation cost of your geothermal heat pump and has no upper limit.

If you’re looking to install a new energy efficient heating or air conditioning system in your Maryland, Virginia or Washington, DC home, call James A. Wheat & Sons today! We can install your new energy efficient appliances and help you qualify for the 2011 energy tax credit.