Offers, Rebates & Tax Credits
Find ways to save on your system with rebates, special offers, and tax credits, including credits from the Inflation Reduction Act (IRA).
Inflation Reduction Act Homeowner Incentives
The Inflation Reduction Act (IRA) introduces enticing incentives for homeowners who invest in eligible, high-efficiency HVAC systems. This means homeowners upgrading their HVAC systems may not only save on energy costs, but also can earn tax credits and rebates.
For eligible equipment installed after Jan. 1st, 2023 through December 31st, 2025
For eligible equipment installed after Jan. 1st, 2023 through December 31st, 2025
If you installed/will install eligible HVAC equipment between January 1st, 2023, and December 31st, 2025, you may be eligible for tax credits up to 30% of installation costs (up to $1,200/year) under the Energy-Efficient Home Improvement Tax Credit 25C program. HVAC upgrades include:
- Up to $2,000 for qualified heat pumps
- Up to $600 for qualified air conditioners
- Up to $600 for qualified furnaces
- Up to $600 for electrical upgrades to enable heat pump installation
Please note: The maximum 25C tax credit amount is $3,200 when a qualifying heat pump is included in the purchase.
Special offers in your area
How do I apply for a tax credit?
How do I apply for a tax credit?
As per IRS regulations, these tax credits directly reduce the amount of taxes owed. To calculate and file for residential energy credits, the IRS recommends using Form 5695. For personalized guidance on applying for tax credits and tax preparation, it is advisable to consult with a tax professional.
What are rebate programs?
What are rebate programs?
Rebate programs differ by state and income level. To discover rebate programs that you may qualify for, we recommend speaking with a local representative from your state's energy office. Increase your HVAC savings further by exploring rebate programs provided by state programs and local utilities.
Manufacturer Certificates
See below for the Ameristar residential products that qualify for a tax credit. Save these certificates for tax season and utilize them when you file your federal taxes.
Split system heat pump
To be eligible for 2025 tax credits, you must meet all three 25C requirements of 15 SEER/12.5 EER/8.5 HSPF.
- Split system in the south: 15.2 SEER2, 12.0 EER2, 7.8 HSPF2
- Split or packaged system in the north : 15.2 SEER2, 10.0 EER2, 8.1HSPF2, COP of 1.75 at 5F and heating capacity ratio >58% at 17°F/47°F or >70% at 5°F/47°F
FAQs
If a local rebate is available, the process for claiming the incentive could vary by program. You may be able to submit information directly online or perhaps download a form for submittal. Please review the information provided for the rebate program to understand the eligibility requirements and process.
The Energy Efficient Home Improvement Tax Credit (25C) is part of the Inflation Reduction Act (IRA) and incentivizes energy-efficient purchases. This tax credit incentive is available through 12/31/2025.
Beginning on 01/01/2023 and extending through 12/31/2025, the Energy Efficient Home Improvement Tax Credit (25C) allows homeowners to claim up to 30% of the costs of energy-efficient upgrades, up to an annual limit of $1,200. Other individual credit limitations include:
- Up to $2,000 for qualifying heat pumps (the one exceptions to the $1,200 limit)
- Up to $600 for electrical upgrades to enable heat pump installation
- Up to $600 for qualifying air conditioners and furnace
- Up to $150 for home energy audits
These energy credits are nonrefundable, meaning they allow taxpayers to lower their tax liability, but not to a value below zero.
Consult with your tax professional regarding eligibility.
Contact a tax professional to discuss additional questions you may have!
