At F.H. Furr Plumbing, Heating, Air Conditioning & Electric, we’re committed to helping families access the high-quality home services they need while maximizing their savings. That’s why our team strives to stay up-to-date on state, federal, and local rebate programs that can help families reduce the cost of their HVAC, plumbing, and electrical upgrades.
Offering a wide range of heating, cooling, plumbing, and electrical systems that satisfy the eligibility requirements for rebate and tax incentive programs, we can help guide families so they make the most informed decision while reaping the most savings for their replacements.
Contact us today for your home improvement projects by calling F.H. Furr today.
What Is the Inflation Reduction Act?
Signed into law in August 2022, the Inflation Reduction Act (IRA) is a bill designed to combat climate change’s effects by incentivizing energy-efficient HVAC, plumbing, and electrical replacements by making rebates and tax incentives available to families throughout the U.S.
Under the act, each state was provided funding to establish rebate programs and tax credits for qualifying energy-efficient system upgrades made between Jan. 1, 2023, and Dec. 31, 2032.
Heating, cooling, and powering homes represent significant expenses for Americans. The Inflation Reduction Act (IRA) introduces various initiatives, including tax credits and rebates, aimed at assisting families in further reducing their home energy expenditures.
HVAC Rebates & Tax Credits Under the IRA
Through the IRA, several HVAC rebates and tax incentives will soon be available to homeowners throughout Washington, DC, Maryland, and Virginia. These include:
25C Energy-Efficient Home Improvement Tax Credit
The Energy-Efficient Home Improvement Tax Credit offers a tax deduction of up to 30% of the total cost of qualifying HVAC replacements, up to a $3,200 annual limit. Qualifying system replacements and corresponding rebates include:
| 25C Energy-Efficient Home Improvement Tax Credit | |
|---|---|
| System | Total Credit |
| Heat Pump | $2,000 |
| Air Conditioner | $600 |
| Furnace | $600 |
| Boiler | $600 |
High-Efficiency Electric Home Rebate Act (HEEHRA)
Designed specifically for low- to moderate-income households, the High-Efficiency Electric Home Rebate Act (HEEHRA) offers up to $14,000 in rebates per year on new, energy-efficient appliance upgrades. Families earning less than 80% of the area median income (AMI) are eligible to have 100% of the cost of their qualifying replacements covered.
Households making between 80% and 150% AMI are eligible to have 50% of the cost of their replacement projects covered. Heat pumps are the only HVAC systems eligible for a rebate through this program, with an annual limit of $8,000.
HOMES Rebate Program
The Homeowner Managing Energy Savings (HOMES) rebate program offers up to $4,000–$8,000 to homeowners who reduce their energy usage by at least 35% through qualifying system upgrades. In general, the more energy you conserve, the greater your rebate will be. The rebate amount is doubled for low- to moderate-income households.
Plumbing & Electrical Rebates & Tax Credits Under the IRA
Along with HVAC rebates, the IRA also offers savings for families updating their plumbing and electrical equipment. Rebates and tax credits include:
IRA Tax Credit for Electrical Services
The IRA offers a tax credit of up to $600 for homeowners replacing their electrical panels when combined with other upgrades covered by the Energy Efficient Home Improvement Tax Credit.
Water Heater Upgrades & Heat Pump Water Heaters
Homeowners may be eligible to receive up to $600 for upgrading their water heaters to a natural gas, oil, or propane water heater. A tax credit of $2,000 applies for heat pump water heater installations or replacements.
Schedule Your HVAC, Plumbing & Electrical Upgrades & Save With F.H. Furr
Ready to reap the benefits of available HVAC, plumbing, and electrical rebates? F.H. Furr can help.
We pride ourselves on remaining up-to-date on state, federal, and local rebates and tax incentives, educating customers on available programs so they can maximize savings and gain access to high-efficiency heating, cooling, plumbing, and electrical in their homes.
Schedule your home improvement project today and get the most savings for your investment.
