We’ve got good news for those considering a geothermal heat pump – the 30% federal tax credit has been reinstated until December 31, 2019. For those that purchased a system in 2017 you may be eligible for a tax credit as the reinstatement is retroactive to January 1, 2017.
The tax credit amount will slightly decrease in 2020 and 2021 as a phasing out process.
- In 2020, the tax credit will reduce to 26%
- In 2021, the tax credit will reduce to 22%
- The final tax credit will expire 12/31/2021
Please consult your tax preparer to see if you are eligible to receive a tax credit.