Geothermal Tax Credits for Central Virginia Residents Looking for major savings on the installation of that geothermal heating and cooling system you’ve always fancied? Well, this could be the time! The Bipartisan Budget Act of 2018, signed in February 2018, reinstates the Residential Energy Efficient Property Credit for fuel cells, small wind systems … and geothermal heat pumps. As far as the latter are concerned: This credit remains in effect from now through December 31, 2021.It offsets 30% of approved expenditures for systems placed in service between now and December 31, 2019. A gradual decrease in credit value is slated for each succeeding year, so if you’d like the full 30% credit, you’ll have to act swiftly.Retrofit systems are judged “placed in service” when they’re fully installed and ready for use. Systems for newly constru|ere]36]cted or newly renovated homes are accepted as “placed in service” on the day you, the homeowner, first inhabit the home.The home does not have to be your main residence. Your geothermal heat pump is required to satisfy federal ENERGY STAR criteria.To claim the Residential Energy Efficient Property Credit, you’ll have to finish and file IRS Form 5695. For more specifics, take a look at our blog as well as this WaterFurnace®-prepared flier, Understanding the Federal Incentives for Geothermal Heat Pumps. Even though we at Scott Horseman Heating & Air Conditioning Inc. would love to see you install a geothermal heating and cooling system for your Central Virginia home, we cannot legally endorse any financial tactics for doing so. We can, however, recommend that you employ the services of a nearby tax professional. He or she can counsel you on how best to take advantage of geothermal tax credits given your specific financial situation. If you want to find out more about what other energy-related tax incentives might be applicable to you at the federal, state, and local levels, visit dsireusa.org. This is a unique resource that provides state-by-state facts on scores of policies and incentives designed to advance renewable energy and energy efficiency. And bear in mind: When you’re ready to install a geothermal heating and cooling system in your home, call on the Central Virginia geothermal professionals at Scott Horseman Heating & Air Conditioning Inc.. We’ll get the job done right – to help you start saving both energy and money right from the start.