There’s Still Time to Get Tax Credits in 2011!

Don’t delay – your new air conditioner can earn you a credit!

Tax credits have been extended through December 31, 2011 for residential customers purchasing new qualified air conditioning and cooling systems. If you buy a new central AC system for this summer, you may be qualified for a credit (dollar for dollar) of 10% of the installed cost of the unit up to $300 maximum. There is no guarantee that this credit will be extended beyond tax year 2011, so now is the time to lock in the most savings possible on a new residential air conditioning unit.

The maximum tax credit that can be claimed for 2011 has been reduced from $1500 to $500. In addition, the 2011 tax credits have placed maximum amounts that can be claimed for various components of the HVAC system, such as a $150 maximum tax credit for a 95% gas furnace and $300 for an air conditioner or heat pump. These component maximum amounts are additive to a $500 maximum lifetime tax credit. The only exceptions are boilers and oil furnaces, where the qualifying efficiency has been increased from 90 AFUE to 95 AFUE. The following chart summarizes the difference between 2009/2010 tax credits to the new 2011 Tax credits.