Tax Credit on Your New System Installation

What the American Recovery and Reinvestment Act Means to You The American Recovery and Reinvestment Act of 2009 extended many consumer tax incentives originally introduced in the Energy Policy Act of 2005 (EPACT) and amended in the Emergency Economic Stabilization Act of 2008 (P.L. 110-343). Businesses, utilities, and governments are also eligible for tax credits. Access www.recovery.gov for the full American Recovery and Reinvestment Act bill signed by President Obama.

HVAC Tax Credits (under the 2009 stimulus)

Under the current HVAC stimulus, those who purchase and install specific efficient HVAC products, such as air conditioners with high SEER ratings or geothermal heat pumps, into existing homes can receive a tax credit for 30% of the cost, up to $1,500, for improvements "placed in service" starting January 1, 2009, through December 31, 2010 under the 2009 stimulus. For geothermal heat pump installations, the credits can exceed $1500 and actually go up to 30% of the entire cost of procurement and installation!