Can I Receive a Tax Credit for My New Furnace?

For most families, there usually seems to be a long list of home improvement to-do’s that they want to do or new ideas they’d like to attempt. While a handful may not be necessities, furnace replacement is an example of a job that could be key to keeping your home comfortable through the cooler months in Winnipeg.

Purchasing a new furnace is a big investment. You’ll definitely recognize the return-on-investment on your indoor comfort as well as your utility costs, but it could be a little daunting at first. The good news is that when you shop for a new energy-efficient furnace, you could be qualified for a federal tax credit.

According to ENERGY STAR®, the Non-Business Energy Property Tax Credits were extended through December 31, 2020. In order to receive the tax credit, you must buy a furnace that has earned the ENERGY STAR label. It cannot be a furnace that is labeled ENERGY STAR for “U.S. South Only.” When browsing for furnace replacements, look for solutions with the ENERGY STAR rating so you can be certain you’re picking a high-efficiency furnace.

At Kirkfield Heating & Air Conditioning, the experts will help you find an option that meets your needs and ensures you qualify for this tax credit. While ENERGY STAR products designate high efficiency, you will want to confirm the furnace you pick has an Annual Fuel Utilization Efficiency (AFUE) greater than 95, in order to qualify for the tax credit. AFUE represents the percent of heat produced for every dollar of fuel consumed.

Taking advantage of this opportunity is not going to be the only savings you’ll find when you buy a new high-efficiency furnace. Many of the most efficient products can save you hundreds of dollars on your utility costs all year long. And your family will also have higher confidence in your HVAC system to maintain your indoor space at just the right comfort level.

If you come across questions regarding your eligibility for a tax credit, or if there are further local savings you might be eligible for by buying a new high-efficiency furnace, give our teams at Kirkfield Heating & Air Conditioning a call at 204-272-8128. You may also visit ENERGY STAR or contact your local utility organization if you have questions about other eligible home products.