How to Get the Residential Energy Efficiency Property Credit in Indianapolis in 2020

In regard to energy-efficient HVAC installation in Indianapolis, there’s good news for you this tax season.

The Residential Energy Efficient Property Credit will now go through 2020. This could qualify you for incentives for energy-efficient home modifications, like modern heating and cooling units, water heaters and heat pumps.

What Makes My Purchase Eligible?

To be entitled for the credit, the residence is required to be the taxpayer’s main home in the U.S. The improvement should have a life of a minimum of five years, with the first use beginning with the taxpayer.

What Types of Improvements are Considered High-Efficiency Renovations?

Typically, this tax credit corresponds with 10% of the price of the ensuing energy-saving changes that achieve certain ENERGY STAR® requirements:

  • Advanced main air-circulating fans
  • Energy-efficient gas, propane or oil furnaces
  • Energy-efficient gas, propane or oil hot water boilers
  • Energy-efficient heat pumps
  • Energy-efficient water heaters
  • Energy-efficient central air conditioners
  • Insulation
  • Particular metal and asphalt roofing
  • Particular exterior storm windows, skylights and storm doors
  • Solar/geothermal energy products, like solar electricity, solar water heaters and geothermal heat pumps

How Much Can I Claim?

Yes, there’s a lifetime maximum credit of $500 per home. This means if you have claimed this incentive in past years, you are required to reduce any credit you claimed earlier.

If you’ve already claimed the max amount, you aren’t eligible for any extra reductions through this expansion.

Credit Maximums for Specific Units

Credits are restricted for a couple of participating items:


  • Windows and skylights—$200
  • Advanced main air circulation—$50
  • Hot water boilers—$150
  • Energy-efficient systems—$300

If you have questions about how you can benefit from the extension of the residential energy efficient property tax credit, download Form 5695 or contact your tax advisor for assistance.

Enhance Your Heating and Cooling Units Today

Been putting off upgrading your heating and cooling units? Talk with the Experts at 317-527-0271 or contact us online. We can help you find an energy-efficient system you can earn tax benefits from the next year.

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