HVAC Tax Credits

The 2011 Federal tax credit program rewards you for buying high efficiency residential HVAC equipment. A tax credit is generally more valuable than an equivalent tax deduction, because a tax credit reduces your taxes dollar-for-dollar, while a deduction only removes a percentage of the tax that is owed.

2011 Federal Tax Credit Program for York® Residential Products

Federal tax credits for York® residential HVAC Equipment remain in place for qualified equipment purchased and installed from January 1, 2011 through December 31, 2011. All York® systems and units that meet the criteria for the federal tax credits program in 2010 are still eligible to receive these tax credits in 2011, just at lower dollar amounts.

The 2011 federal tax credit program is part of the extended Federal Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act of 2010, which was signed into law by President Obama on December 17, 2010. This program extension does include several major changes from the tax credit program that was in effect for 2009 and 2010.

Changes for the 2011 federal tax credit program include the following:

• Eligible taxpayers can claim 10% of equipment costs excluding labor, up to a maximum total of $500 in the calendar year 2011 for high efficiency residential equipment.

• An individual or household lifetime cap of $500, which dates back to January, 2006 has been added under this 2011 program. For example, if an individual has claimed the federal section 25C tax credit at any time since 2006, for any qualifying energy efficiency upgrade up to or over $500, they would be ineligible to claim the credit in 2011.

Learn about this year's tax credits worth up to $500 on qualifying, high efficiency York® equipment.

Qualifying Equipment

As of January 1, 2011, the tax credit levels are:

• Maximum of $50 for any furnace advanced main air circulating fan (where the total electricity use is equal to or less than 2% of the total energy used by the furnace). These furnaces are identified in the AHRI directory as electrically energy efficient.

• Maximum of $150 for any qualified natural gas, propane or oil furnace or hot water boiler with an AFUE of 95% or greater.

• Maximum of $300 for any energy-efficient building property equipment (i.e. Central Air Conditioners or Heat Pumps), which includes:

• Split system air conditioners must be rated at 16 SEER/13 EER or above.

• Split system heat pumps must be rated at 15 SEER/12.5 EER/8.5 HSPF or above.

• Package air conditioner must be rated at 14 SEER/12 EER or above.

• Package heat pump must be rated at 14 SEER/12 EER/8 HSPF or above.

• Package gas /electric outdoor unit must be rated at 14 SEER/12 EER or above.

Equipment must be placed in service after December 31, 2010, and before January 1, 2012.

Submitting a Claim

To claim a tax credit, you as a taxpayer must file IRS form F5695 with your 2011 tax return. As always when dealing with federal tax credits, you are encouraged to contact a tax professional to determine your eligibility for these credits.

Any distributor, contractor, or consumer may search at the AHRI website (www.ahridirectory.org) for system information and download a certificate showing the efficiency levels for that equipment as validated through the AHRI voluntary certification program. The certificates available from the AHRI website meet all requirements for documentation of system ratings needed by the IRS, and may be used in place of the certificates provided by the equipment manufacturer.

The York® certification statement is also available for download.

Download Certificate