Go Green-Save Green
Federal Tax Credits
for Energy Efficient Appliances Extended into
2011 with New Credit Amounts
Federal Tax Credits for Energy
Efficient Appliances, such as Furnaces, Air Conditioners, Heat
Pumps, and Tankless Water Heaters, have been extended into 2011 with
many modifications made to the original 2009 - 2010 legislation.
On December 17, 2010, President Obama
announced an extension of the Federal Energy Efficiency Tax Credit into
2011; however, many efficiency requirements and credit amounts within the
legislation have changed.
The former 2009 - 2010 tax credit
offered up to $1,500 in credits - 30% off of the total, installed price -
while the extension offers up to $500 - 10% off the total, installed price -
in Federal tax credits. The tax credits apply to energy efficient
appliances, such as tankless water heaters, furnaces, and boilers - and
newly added to the tax credit are air conditioners and heat pumps.
Efficiency requirements: Furnaces and boilers must have a minimum 95%
efficiency level, and are eligible for to up to $150 in credits. A split
air conditioning system must be at least 16 SEER and 13 EER, and a package
system must be at least 14 SEER and 12 EER. Both systems are eligible for
up to $300 in credits. Split heat pumps must be at least 15 SEER and 12.5
EER, and a packaged system must be at least 14 SEER and 12 EER. Both
systems are eligible for up to $300 in tax credits. Tankless water heaters
must have an energy factor of 0.82 or better; and are eligible for up to
$300 in credits.
The 95% required efficiency rating on boilers is an
increase from the former 90% requirement.
Another
modification: the available $500 credit is not applicable to those who
received an efficiency credit from January 1, 2005 to present day. Simply
put, if you claimed a credit since 2005, you are not eligible for the 2011
extension.
Additionally, the Colorado Governor's Energy Office, Xcel
Energy, and some municipalities are still offering rebates for the
installation for energy efficient appliances.
Energy Efficient Appliances Tax Credits
