2011 Federal Tax Credit Extension
The Residential Energy Efficiency Tax Credits of 2009-2010 have been extended through 2011, with modifications. The most significant change to this law reduces the cap from $1,500 to $500. This cap is the total amount of credits a homeowner may claim between 2006 and 2011, not just in 2011. If a homeowner has already claimed $500 or more in credits through this allowance, they will be unable to claim new credits for improvements made during 2011. Another change involves the amount eligible which now varies by product. See chart below. And lastly, most of the HVAC qualifying efficiency levels have remained the same; however, boilers and oil furnaces have increased from 90 AFUE to 95 AFUE. These changes will take affect on January 1, 2011.
See the chart below for details on the 2011 Tax Credit Extension, differences from the 2009-2010 Tax Credit highlighted in RED, and qualifying products.
| Product | 2009-2010 Tax Credit | 2011 Tax Credit |
| General Provision |
30% of installed cost, up to $1500 |
10% of installed cost, up to $500 |
| Central A/C |
Split systems: 16 SEER & 13 EER |
Split systems: 16 SEER & 13 EER |
| Furnaces |
Gas Furnaces: 95 AFUE |
Gas furnaces: 95 AFUE Oil furnaces: 95 AFUE Boilers: 95 AFUE 10% of installed cost, $150 max |
| Efficient Indoor Fan |
30% of cost of fan, $1500 max |
$50 |
| Heat Pump |
Splits: 15 SEER, 12.5 EER, 8.5 HSPF Packaged: 14 SEER, 12 EER, 8 HSPF 30% of installed cost, $1500 max |
Splits: 15 SEER, 12.5 EER, 8.5 HSPF Packaged: 14 SEER, 12 EER, 8 HSPF 10% of installed cost, $300 max |
|
Gas, Oil, and Propane |
30% of installed cost, $1500 max. Energy factor .82 or thermal efficiency of 90% |
10% of installed cost, $300 max. Energy factor .82 or thermal efficiency of 90% |
|
Electric Heat Pump Water Heater |
30% of installed cost, $1500 max. Energy factor greater than or equal to 2.0 |
10% of installed cost, $300 max. Energy factor greater than or equal to 2.0 |
We realize the tax stuff can be a little confusing, so contact us today and we can help you not only pick qualifying products, but also verify your savings.
