The federal tax credit for installing a geothermal heat pump in your home is still on. You will save 30 percent of the total cost for your new system, including the installation, with no limit to your savings.How does the system work? Geothermal heat pumps operate much like any heat pump, except that they extract heat or cold from the ground beneath your home. Below the surface the ground temperature stays very constant year round. It is cooler in the summer, warmer in the winter. By looping coils through the ground you can both warm and cool your home at a lower cost. This is a much more environmentally safe way to heat your home. There is no burning of gas or other energy sources which put noxious fumes into the air. And while there is a small use of electricity, it is nowhere near as great as the electricity required to run an electrically heated or cooled home. Electricity that is frequently produced by coal fired generating plants. It is, in fact, a very green answer for those of us that are worried about the planet.Geothermal heat pumps are an efficient and cost effective way to control the heating and cooling of your home, even here in the Tulsa area.How does the tax credit work and why is it better than a tax deduction? The federal government has recently extended the tax credit for installing one of our geothermal heat pumps. A tax credit allows you to deduct the entire amount of the credit directly from your tax bill. No matter what your tax rate, you still get the entire credit applied to your tax bill.A tax deduction, on the other hand, only allows you to reduce your taxable income. If your top tax rate is 25 percent, you then reduce your tax bill by only 25 percent of the deduction.Our goal is to help educate our customers about energy and home comfort issues (specific to HVAC systems). For more information, click here. Air Assurance services Tulsa, Broken Arrow and the surrounding areas. To get started, check out our website or see our current promotions.
Furnaces, Geothermal, Tax Credits