Lime Springs Energy-Savers Celebrate:
30% Federal Geothermal Tax Credit Reinstated!

You know that smooth-operating, low-maintenance, wonderfully energy-efficient geothermal heating and cooling system you’ve been dreaming about but couldn’t afford? Well, look again! Because, as of February 2018, the federal government’s 30% geothermal tax credit is reinstated! And what was previously a financial impossibility may now be well within your means, be it for a new home you’re building in Lime Springs or for the updating of your current home. You’ll need to act swiftly, though, because the federal tax credit amount has been set up to shrink each year through 2021.

Here are the crucial 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 ultimate 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 later. A geothermal heating and cooling installation is typically figured to be “placed in service” when it’s completely installed and ready for use. If, however, your system is part of a newly built or newly renovated home, it’s regarded as “placed in service” the moment you start living in the home.
  • What’s eligible for the tax credit is geothermal equipment that, a) uses solar energy cached underground for heating and cooling and, b) meets all ENERGY STAR requirements at the time of installation.
  • Covered expenditures encompass labor for onsite preparation, assembly, or original system installation and for the piping or wiring that links your geothermal system to your home.
  • The credit amount is unlimited.

Need more facts? WaterFurnace® has collected them for you in this handy data sheet, Understanding the Federal Tax Incentives for Geothermal Heat Pumps. And, of course, your Lime Springs geothermal pros at Johnson Comfort Systems, Inc. will be glad to answer any questions you have about this exciting new opportunity to put geothermal heating and cooling to work for you – affordably!