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

You know that clean-running, low-maintenance, wonderfully energy-efficient geothermal heating and cooling system you’ve been wanting but couldn’t afford? Well, check again! Because, as of February 2018, the federal government’s 30% geothermal tax credit is back again! And what was previously a financial impossibility may now be well within your means, whether for a new home you’re building in Meridian or for the enhancement of your current home. You’ll want to act soon, though, because the federal tax credit amount is slated to decrease each year through 2021.

Here are the salient facts:

  • A full 30% of the total cost of your geothermal system is covered by this credit through 2019. In 2020, then, just 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 beyond. A geothermal heating and cooling installation is typically figured to be “placed in service” when it’s totally installed and ready for use. But if 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 include labor for onsite preparation, assembly, or original system installation and for the piping or wiring that tethers your geothermal system to your home.
  • There is no limit to the credit amount.

Want more facts? WaterFurnace® has collected them for you in this convenient data sheet, Understanding the Federal Tax Incentives for Geothermal Heat Pumps. And, of course, your Meridian geothermal pros at Heblon Heating & Air Conditioning Co. 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!