Beatrice Energy-Savers Take Note:
30% Federal Geothermal Tax Credit Reinstated!

You know that smooth-running, low-maintenance, amazingly energy-efficient geothermal heating and cooling system you’ve been dreaming about but couldn’t afford? Well, you’re in luck! Because, as of February 2018, the federal government’s 30% geothermal tax credit is now back in effect! And what was once a financial impossibility may now be well within reach, whether for a new home you’re building in Beatrice or for the upgrading of your present home. You’ll need to act fast, though, because the federal tax credit amount is slated to decrease each year through 2021.

Here are the important facts:

  • A full 30% of the ultimate cost of your geothermal system is covered by this credit through 2019. Starting in 2020, then, only 26% of the total cost is covered. And in 2021, only 22%.
  • The federal geothermal tax credit can be applied retroactively to installations that are “placed in service” as of January 1, 2017, or beyond. A geothermal heating and cooling installation is typically figured to be “placed in service” when it’s totally installed and ready for use. That said, your system is part of a newly built or newly renovated home, it’s deemed to be “placed in service” when you begin living in the home.
  • What’s eligible for the tax credit is geothermal equipment that, a) uses solar energy accumulated in the earth for heating and cooling and, b) satisfies all ENERGY STAR requirements at the time of installation.
  • Covered expenditures take into account labor for onsite preparation, assembly, or original system installation and for the piping or wiring that hitches your geothermal system to your home.
  • The credit amount is not limited.

Need more specifics? WaterFurnace® has collected them for you in this convenient leaflet, Understanding the Federal Tax Incentives for Geothermal Heat Pumps. And, of course, your Beatrice geothermal pros at Noakes Heating & Air will be more than happy to answer any questions you have about this generous new opportunity to put geothermal heating and cooling to work for you – affordably!