There are a number of ways a functional and modernized HVAC system can lower the costs of your monthly energy bill. But by leveraging a set of recent and upcoming federal energy efficiency tax credits and rebates in Utah, you can take these savings to new levels. Starting January 1, 2023, and capping at December 31, 2032, projects that make your home more energy efficient will be eligible for up to a 30% tax credit—capping at $1,200 per year, with taxpayers able to claim as much as $2,000 for augmentations to their heating and cooling systems. By knowing the nuances of these energy efficiency tax credits in Utah, you can add genuine and lasting value to your pursuit of a more environmentally friendly HVAC system.
Current Eligible Tax Credits
Starting in 2023, you will be able to earn tax credits for a wide variety of home improvements, ranging from home energy audits, to higher value improvements, such as the installation of energy-efficient skylights, insulation, doors, and windows. These energy efficiency tax credits in Utah can run as high as $2,000 per year for the installation of heat pumps, heat pump water heaters, and biomass stoves and boilers.
Established by the Inflation Reduction Act are two grant programs, which issue rebates based on a homeowner’s income and energy savings. If the State of Utah opts into these energy efficiency tax credit programs, homeowners will have the ability to pursue even more tax incentives, on top of the ones listed above. These rebates include taking key steps like limiting energy use by 20% or 35%, or even up to 50% of the total cost of energy efficient improvements to your home.
There are even more opportunities presented by these energy incentives than the ones covered here, including ones for business owners and builders. Not only can boosting the energy efficiency of your home save you money by cutting down your monthly heating and cooling costs, but it can also produce incredibly valuable tax credits through government programs like the Inflation Reduction Act. To learn more about how you can maximize these energy efficiency tax credits and rebates in Utah while leveling up your property in Salt Lake City, contact At Your Service Pros today.