Does A New HVAC System Qualify For Rebates and Tax Credits - Chesterfield Service

Does A New HVAC System Qualify For Rebates and Tax Credits

If your air conditioner has been struggling to keep your Chesterfield, MO area home comfortable all summer and multiple repairs have not helped solve your problem, then it’s time to replace your cooling system. Many homeowners choose to replace their heating and cooling systems at the same time because this can eliminate confusion about how old each system is, and sometimes manufacturers and HVAC companies will offer discounts on installation costs.

But just because your home has a furnace and an air conditioner, doesn’t mean you’re stuck with this system. As a homeowner, you have options, and upgrading your HVAC systems has never been more affordable! The team at Chesterfield Service explains which HVAC systems qualify for new federal tax credits and rebates so you can feel better about your impact on the environment while improving the comfort of your home.

Federal Tax Credits and Rebates Available For Homeowners

In 2022, the federal government implemented a few programs that could help lower the cost of investing in energy-efficient HVAC systems for homeowners. 

Inflation Reduction Act

The Inflation Reduction Act was signed into law in August 2022. It offers tax credits from the government when taxpayers make energy-efficient home improvements. While the discount isn’t immediate, homeowners will see the difference when they file their taxes. Home improvements that qualify under the Inflation Reduction Act include solar panels, heat pump water heaters, windows, insulation, and energy-efficient heating and cooling systems. 

The High-Efficiency Electric Home Rebate Act (HEEHRA)

As part of the IRA, a special rebate program designed for heat pumps was created to give homeowners more incentive to switch out their HVAC system for a more efficient one. The HEEHRA offers point-of-sale rebates for heat pumps up to $8,000. The rebate is deducted automatically from the price at the time of the sale. 

This program targets low and moderate-income households. How much you qualify for depends on your household income and area median income. 

Which HVAC Systems Apply For These Incentives?

Homeowners looking for rebates and tax credits for a new HVAC system who don’t want to switch to a heat pump system don’t have to. Just upgrading to Energy Star Certified equipment can qualify for some kind of incentive. 

  • Air Source Heat PumpsAir source heat pumps qualify for both the Inflation Reduction Act and the HEERHRA. Systems must meet certain energy efficiency requirements to qualify. 
  • Geothermal Heat PumpsGeothermal heat pump installation can be expensive. With the Inflation Reduction Act, homeowners can be eligible for up to 30% off the cost of buying and installing their geothermal heat pump. 
  • Air Conditioners – If you purchase and install an air conditioner that has a Seasonal Energy Efficiency Ratio (SEER2) of 16 or greater, you may claim a tax credit of 30% of the total project cost. 
  • Heating Systems – Even purchases for furnaces and boilers can receive tax credits. Qualifying units must have an Annual Fuel Utilization Efficiency (AFUE) of 97% or greater to receive 30% of the project cost. 

How Do I Know If I Qualify For Energy Efficiency Tax Credits and Rebates?

It may be hard to figure out which rebates you qualify for. The finance team at Chesterfield Service is prepared to help you. It’s our job to navigate the new tax credits and rebates available so we can help our customers afford the best home comfort system available. As a Bryant Factory Authorized Dealer, there are additional manufacturer rebates available as well. When you work with our finance team, we can find out how to install a new HVAC system in your home for the lowest price.

After tax credits and rebates, we can also offer financing to help make the remaining amount of your new appliance balance more manageable. We offer flexible financing options through GreenSky and Wells Fargo for those who qualify. This can speed up the installation process so you can start enjoying your new HVAC equipment sooner. Talk to us today to see if you qualify. 

Additional Incentives From Ameren Missouri

If you are an Ameren Missouri electric utility customer, you may also qualify for additional rebates from Ameren Missouri when you install qualifying energy efficient HVAC equipment. Installing qualifying equipment can allow you to claim the following rebates:

  • Central Air Conditioners: Up to $700
  • Air Source Heat Pumps: Up to $900.
  • Geothermal Heat Pumps: Up to $1,800
  • Smart Thermostats: $100

Talk to Chesterfield Service Today To Save Money On A New HVAC System

Chesterfield Service is happy to show you which HVAC upgrades are best for your home. Whether you want to upgrade your current air conditioner and furnace, or you’re looking to make the switch to an energy-efficient heat pump, our team of technicians are your experts for all of your home services needs. Contact Chesterfield Service today to get started.