Further Consolidated Appropriations Act of 2020

The Further Consolidated Appropriations Act, 2020 amended Internal Revenue Code section 25C, which provides a tax credit for the purchase and installation of Qualified Energy Property, which includes residential heating and cooling equipment meeting certain energy efficiency requirements. Homeowners may be eligible for the section 25C credit if they purchase certain types of heating, ventilation and air conditioning (HVAC) systems, water heating equipment, or make other energy-related improvements to their homes placed in service by December 31, 2020. Confirm eligibility of your matched system by visiting www.ahridirectory.org or by contacting your installing dealer.

How do I apply for a text credit?

For qualified HVAC improvements, homeowners may be able to claim 25C tax credits equal to 10 percent of the installed costs (up to $500 maximum*). The extended tax credit is in effect for all qualifying systems and products installed during the 2018 through 2020 calendar years and expires on December 31,2020. Subject to IRS regulations, tax credits apply as a direct reduction of taxes owed. The IRS has directed taxpayers to use Form 5695 to calculate and file for their residential energy credits. Customers should consult with a tax professional to fully understand how the tax credits may apply to you, what you can do to obtain one, and for advice on tax preparation.

How do I learn more about Ameristar’s energy efficient solutions?

Ameristar is committed to meeting the needs of homeowners in a very dynamic environment and offers many products under this new law. Depending on the type of system or product purchased, it may be possible to qualify for a 25C tax credit of up to $500* on your income tax return. IRS form 5695 will need to be filed with your return. The tax credit is effective for all qualified systems installed from 1/1/2018 through 12/31/2020, and is only valid to taxpayers that own their home and use it as their principal residence. Consult your local tax professional for advice on taking advantage of this tax credit.

The following Ameristar residential products qualify for a federal tax credit:

  • Split system air conditioning – must meet 25C requirements of 16 SEER/13 EER (both efficiency levels must be met to qualify for the tax credit) — Manufacturer Certificate
  • Split system heat pump – must meet 25C requirements of 15 SEER/12.5 EER/8.5 HSPF (all three efficiency levels must be met to qualify for the tax credit) — Manufacturer Certificate
  • Gas furnace – must meet 25C requirements of 95% AFUE — Manufacturer Certificate
  • Advanced main air circulating fan – gas furnace or packaged system with an advanced circulating fan that utilizes no more than 2% of furnace total energy use per 25c requirements. — Manufacturer Certificate

Find out what specific products are eligible by visiting the government’s summary of Energy Star products that are eligible for HVAC credits at www.energystar.gov/taxcredit. As always, you can also contact your local independent Ameristar dealer who can help you determine product model numbers if necessary.

Have questions? Complete this form to be contacted by an Ameristar representative.

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