Fort Wayne Energy-Savers Celebrate:
30% Federal Geothermal Tax Credit Reinstated!

You know that smooth-operating, low-maintenance, highly 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 back again! And what was heretofore a financial impossibility may now be well within reach, whether for a new home you’re building in Fort Wayne or for the enhancement of your existing home. You’ll want to act fast, though, because the federal tax credit amount is scheduled to decrease from year to year through 2021.

Here are the central facts:

  • A full 30% of the total cost of your geothermal system is covered by this credit through 2019. Beginning in 2020, then, just 26% of the total cost is covered. And in 2021, just 22%.
  • The federal geothermal tax credit can be applied retroactively to installations that are “placed in service” as of January 1, 2017, or beyond. “Placed in service” means that the installation of your geothermal heating and cooling system is complete and the equipment is ready for use. If, however, your system is part of a just built or just renovated home, it’s deemed to be “placed in service” when you take up residence.
  • What’s eligible for the tax credit is geothermal equipment that, a) makes use of solar energy cached in the ground for heating and cooling and, b) satisfies 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 connects your geothermal system to your home.
  • There are no set limits to the credit amount.

Want more specifics? WaterFurnace® has assembled them for you in this nifty data sheet, Understanding the Federal Tax Incentives for Geothermal Heat Pumps. And, of course, your Fort Wayne geothermal pros at Masters Heating & Cooling, Inc. will be happy to answer any questions you have about this thrilling new opportunity to put geothermal heating and cooling to work for you – affordably!