2011 Federal Tax Credit Program

for Qualifying Residential

Indoor Comfort Systems

 

The Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 provides for federal tax credits on qualifying, high-efficiency residential heating and cooling products and systems (HVAC) through December 31, 2011.

 

This program is similar to, but different from, the federal tax credits that were in effect during 2009 and 2010.

• The maximum amount an eligible homeowner may receive in federal tax credits for purchasing and installing qualifying products, whether those purchases are in the form of upgraded insulation, windows, HVAC equipment or other eligible improvements, is now 10% of the cost of the improvement, including installation costs, up to  $500 (with maximum per-category amounts listed below).
• The $500 tax credit amount is reduced by the total amount of residential energy property credits a homeowner has claimed for purchases between 2006 and 2010. If a residential homeowner has already claimed single-family home tax credits of $500 or more from improvements made prior to 2011, he or she cannot claim any new tax credits during 2011.
• All furnaces and boilers, whether fueled by natural gas, propane or fuel oil, must have an AFUE rating of 95% or higher to be eligible for the 2011 federal tax credit program.
• Products or units must be installed between January 1, 2011, and December 31, 2011, to be eligible for tax credits.
   

Maximum Available Tax Credit	Product Type	Efficiency Requirements
$50	Any advanced main air circulating fan	Electricity consumption of no more than 2% of the total energy use of the furnace Tax Certificate
$150	Natural Gas, Propane, Oil Furnaces or Boilers	95% AFUE rating Tax Certificate
$300	Split-System Air Conditioners	16 SEER / 13 EER
$300	Split-System Heat Pumps	15 SEER / 12.5 EER / 8.5 HSPF
$300	Packaged Air Conditioners	14 SEER / 12 EER
$300	Packaged Heat Pumps	14 SEER / 12 EER / 8 HSPF
$300	Packaged Gas/Electric units	14 SEER / 12 EER

 

This information is provided for discussion purposes only and is provided as a generic guideline. No consideration should be taken that this information represents tax advice. Contact your local tax professional to determine how these credits may apply to your circumstances and visit  www.energystar.gov for more information.

 

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The Goodman brand offers a complete line of energy-saving, refreshingly affordable heating and cooling products. Listed below for quick reference, are the qualifying Goodman Products. Qualifying products and systems must meet specific energy efficiency standards and be identified as matched systems by the AHRI (Air Conditioning, Heating and Refrigeration Institute).

 

The products listed below are Qualified Energy Property and, if installed in the homeowner’s primary residence and placed in service between January 1, 2009 and December 31, 2010, they may qualify for a non-refundable tax credit under Section 25C of the Internal Revenue Code for 30% of the cost, up to $1,500. To learn the full details regarding the tax credits, talk to your tax professional or visit www.energy.gov/taxbreaks for more information. 

 

Gas Furnaces Rated 95% AFUE or Higher	Energy Tax Certificate***
Advanced Main Circulating Fan**	Energy Tax Certificate***
* Check with installing dealer or tax code to determine specific amount allowed for these products. Actual tax credit amounts remain under review.
Central Air Conditioners
DSXC18,  DSX18,  DSXC16,  DSX16,  SSX16	Energy Tax Certificate***
Heat Pumps
DSZC18,  DSZ18,  DSZC16,  DSZ16	Energy Tax Certificate***
SSZ16,  SSZ14,  GSH14	Energy Tax Certificate***
Packaged Gas/Electrics
GPG15 (2- to 4-Ton Gas Electric units)	Energy Tax Certificate***
Packaged Heat Pumps
GPH15 (2- to 4-Ton "M" Series Heat Pumps)	Energy Tax Certificate***
GPH14 (2- to 5-Ton "H" Series Heat Pumps)	Energy Tax Certificate***
Packaged Air Conditioners
GPC15 ( 2- to 4-Ton "M" Series AC Units)	Energy Tax Certificate***
GPC14 (2- to 5-Ton "H" Series AC Units)	Energy Tax Certificate***

 

This certification is made pursuant of section 25C of the Internal Revenue Code***

 

* A tax credit is generally more valuable than an equivalent tax deduction because a tax credit reduces tax dollar-for-dollar, while a deduction only removes a percentage of the tax that is owed. Tax filers can itemize purchases in their federal income tax form, which will lower the total amount of tax they owe the government. Goodman recommends that homeowners consult with a tax professional to determine the application of credits outlined in this program.

 

Tax Credit FAQs

 

Tax Credit Information