With all the hustle of the holidays and the confusion of the ‘fiscal cliff’ discussions one of the benefits may have been overlooked and with tax time upon us it is nice to get another credit if you can.
Operations Manager for Lindley Heating and Cooling Greg Woods noted “We have been busy trying to contact our new installation clients for 2012 to be sure they take advantage of this credit”.
The recently passed American Taxpayer Relief Act of 2012 retroactively reinstates the §25C tax credits for highly efficient HVAC and water heating equipment that expired at the end of 2011.
Specifically, the Act extends the tax credits that expired at the end of 2011 retroactively to January 1, 2012 through December 31, 2013 for qualified equipment pursuant to Section 25C of the Internal Revenue Code. Because the tax credits were made retroactive to January 1, 2012, they can be used for qualified equipment that was Purchased and installed any time after December 31, 2011.
What this means is that if you purchased certain high efficiency Furnaces/ Boilers, Air Conditioners, Heat pumps you can claim a nice credit on your taxes. I addition if you decide to make a change this year you will still get the credit.
“It’s important that the client verify all the savings they get at time of purchase” says Greg Woods “ Not all system qualify, but with this extra tax credit it may help with the decision to go more efficient than not”
In addition the 30% tax credit is also still in place for any Geothermal system that was installed or will be installed in 2013. “We always recommend you talk with a qualified tax preparer with any questions” says Mr. Woods. “It’s also important that you check your local utility company to be sure they are not offering a rebate as well”. Mr. Woods stated that many utility companies are helping folks get into new equipment to help get rid of old and very inefficient older equipment. “At peak usage times it is in the utility companies’ best interest to keep usage down”
If you feel you may have purchased a new system that qualifies you can contact your installation company to review your information. They can supply you with the proper documents to be sure you get the credits you are due.