Hattiesburg Energy-Savers Rejoice:
30% Federal Geothermal Tax Credit Reinstated!

You know that clean-operating, low-maintenance, incredibly energy-efficient geothermal heating and cooling system you’ve been wishing for but couldn’t afford? Well, take heart! Because, as of February 2018, the federal government’s 30% geothermal tax credit is reinstated! And what was once unattainable may now be well within your means, whether for a new home you’re building in Hattiesburg or for the upgrading of your existing home. You’ll have to act soon, though, because the federal tax credit amount is scheduled to decrease each year through 2021.

Here are the important facts:

  • A full 30% of the final cost of your geothermal system is covered by this credit through 2019. In 2020, then, just 26% of the total cost is covered. And in 2021, only 22%.
  • The federal geothermal tax credit can be applied retroactively to installations that are “placed in service” as of January 1, 2017, or later. A geothermal heating and cooling installation is normally considered to be “placed in service” when it’s fully installed and ready for use. That said, your system is part of a newly built or newly renovated home, it’s regarded as “placed in service” at the time you take up residence.
  • What’s eligible for the tax credit is geothermal equipment that, a) employs solar energy accumulated in the ground for heating and cooling and, b) fulfills all ENERGY STAR requirements at the time of installation.
  • Covered expenditures take into consideration labor for onsite preparation, assembly, or original system installation and for the piping or wiring that your geothermal system to your home.
  • There are no set limits to the credit amount.

Like more facts? Your Hattiesburg geothermal pros at BC's Heating and Air will be more than happy to answer any questions you have about this wonderful new opportunity to put geothermal heating and cooling to work for you – affordably!