How many of you are aware that you can get tax write offs for energy efficient furnaces?
I am just wondering because it doesn't seem like many people know about this sort of thing.
My college instructor said that he installed a 95% energy efficient furnace last year that cost him $1800 up front. After he bought it he filled in a form and got a rebate for $500 which brings the price down to $1300. On top of this, he saves about $500 dollars a year on his heating bill.
After 3 years of owning this furnace it will have paid for itself!
2007-12-07 05:25:48 · 2 answers · asked by mikeytrav 1 in Business & Finance ➔ Taxes ➔ United States
If your instructor got a "rebate" it was from the seller or the manufacturer, not the IRS. There is an energy credit allowed for energy efficient furnaces, but it's not that much.
2007-12-07 18:32:39 · answer #1 · answered by Judy 7 · 0⤊ 0⤋
To encouragy people to upgrade their existing homes, Utility companies and states offered rebates on certain projects using superior grade equipment. Of the remaining cost (not including installation), the IRS offered an additional $500 tax credit.
For a 95% energy efficient furnace, the credit is worth $150.
While it's late to try to do anything more for this year (the last year of the credit), there is more information at energystar.gov.
2007-12-07 05:45:27 · answer #2 · answered by Anonymous · 0⤊ 0⤋