Did you know that you could owe less in taxes this year if you make energy-saving upgrades to your home? It’s true!
At Lightfoot Mechanical, we can help you take advantage of the Federal Energy Savings Tax Credit. Improve your comfort levels at home and lower your tax bill, all at the same time. Read on to learn what you need to know or simply give our Weatherford, TX HVAC experts a call!
In August 2022, President Biden signed the Inflation Reduction Act. It has many parts, one of which is the Federal Energy Savings Tax Credit. Under this program, you can subtract a certain amount from what you owe the IRS if you install energy-efficient heating and cooling devices or make energy-saving upgrades to your home.
This is not a rebate, so you won’t get a check in the mail. You will, however, owe less in taxes than you otherwise might. These savings could mean that you pay fewer taxes and have more money to spend on the things you love.
In order to qualify for these programs, you’ll need paperwork after installation, which we can provide. You will also need to fill out IRS form 5695 when you file your tax return. If you rely on a tax professional, they can handle it all for you.
The greatest savings are for people who want to install multi-zone heat pump systems. However, these won’t work for everyone or in every home. Therefore, there are also rebates offered on qualifying furnaces, air conditioners, and other options.
You can also get the tax credit if you make energy-saving modifications to your home. Installing solar panels, upgrading your insulation, or putting in more efficient doors, windows, skylights, etc. can all net you credit on your next tax bill.
There are a number of rebate programs out there that you might qualify for, too. The High-Efficiency Electric Home Rebate Act offers rebates for upgrades that move your home towards relying on electricity, rather than gas. The HOMES rebate program offers rebates when people make whole-home energy-efficient upgrades. You may use as many rebate and tax credit programs as your purchase qualifies for.
If you want to take advantage of these, call us at Lightfoot Mechanical today. We’ll make your home more efficient and help you take advantage of these programs.