How the Inflation Reduction Act Is Making HVAC Systems More Affordable in 2023
Upgrade to an Energy-Efficient HVAC Unit in Maryland To Take Advantage
Inflation has been a source of stress for many people in the past year or so, and homeowners and business owners should always be looking for ways to save money.
Everything from groceries to air conditioners cost more, but the IRS has made some tax changes to benefit homeowners who prioritize going green. The Inflation Reduction Act of 2022 (IRA) can help you take advantage of credits and deductions for your energy-efficient HVAC system.
Here, we’ll discuss how the Inflation Reduction Act helps you save money when you install a heat pump in your home.
How Does the Inflation Reduction Act Help Me Save Money?
In an effort to combat climate change, the Inflation Reduction Act offers tax credits and rebates for property owners who install energy-efficient windows, doors, water heaters, and heating and cooling systems. The Department of Energy set a goal to reduce carbon emissions by 40% in the next seven years.
From Jan. 1, 2023, to Dec. 31, 2032, homeowners can claim a tax credit for up to 30% of the installation costs for energy-efficient HVAC systems. There’s a cap for this credit depending on the type of HVAC system you install — and no income requirements to claim the credit. This means all homeowners can take advantage and save money when upgrading their heating and cooling systems.
The Money-Saving Benefits of Heat Pumps
Heat pumps are a great option for homeowners who want to take advantage of the IRA and reduce their monthly energy costs. Some of the money-saving benefits of heat pump installation include:
- IRA tax credits: Heat pumps have the highest cap for the Inflation Reduction Act tax credits. Homeowners can claim up to $2,000 for qualified heat pumps.
- High energy efficiency: Heat pumps are extremely efficient, which means they cost less to operate. You’ll save money on your monthly energy bills by installing a heat pump.
- Reduced maintenance costs: Heat pumps are one of the most durable and low-maintenance HVAC systems. You won’t have to worry about frequent, costly repairs with a top-of-the-line heat pump.
- Long service life: Heat pumps can last up to 20 years with proper maintenance. This means you’ll go longer between expensive HVAC replacements.
If you want to save money on your HVAC system installation, consider purchasing a heat pump. You’ll also enjoy improved comfort, quiet operation, and convenient heating and cooling.
Michael Bonsby HVAC & Plumbing Is Here To Help You Save
If you need heat pump installation in Washington, DC, or Maryland, hire Michael Bonsby HVAC & Plumbing. We think it’s important to keep our clients informed about ways they can save money on heating and cooling costs, which is why we go out of our way to explain tax changes and credits homeowners can claim for HVAC systems.
We also offer free estimates and financing options. You can trust our highly trained HVAC contractors with your heat pump installation.