President Trump signed a Continuing Resolution bill early in the morning hours of Friday, February 9, 2018 that includes a measure to extend the 30% tax credit for both residential and commercial geothermal heating, cooling, & hot water systems.
Originally expired on December 31st 2016, have been extended to December 31st, 2021. They will remain at 30% only until December 31st, 2019, and will begin a phase out. 26% in 2020, in 2021 they will go to 22%. The tax credit was also made retroactive for all of the 2017 installations of geothermal systems.
As a tax credit, 30% of your investment can be used to reduce your total tax liability for the year the system is installed. You can also carry the credit forward to future years if you do not use it all the year your system is installed. Geothermal systems can get you up to 70% savings on your heating, cooling and hot water costs. With this tax credit, and your new system, you will recover the costs of installation and enjoy the savings for many years to come.
This is great news for both residential and commercial customers. Geothermal heating and cooling systems use the renewable energy available in your own property to both heat and cool your home or facility. By taking advantage of the constant 55-degree temperature at depths of 5 feet and below. Water is circulated through the ground to collect the heat in the ground and deliver air temps of 95-105 degrees through your heating system. In the summer, that is reversed, and heat is taken from your home and put back in the ground.
Geothermal units have twice the lifespan of conventional air conditioners and heat pump, and there is no noisy outdoor unit. With a variety of methods to put the tubing in the ground, Aquarious Home Services can make your geothermal savings a reality in almost any yard.
With the reinstatement of the 30% tax credit, geothermal systems are almost a no-brainer for anyone building a home or needing to replace an existing HVAC system as they will provide quick paybacks and attractive returns on investment.