The Stimulus Bill signed in 2009 by President Obama improves the tax credit and removes any cap from the incentive. A homeowner is no longer limited, and may collect the full 30% of the installed system cost as a tax credit for systems that are installed between January 1, 2009 and December 31, 2016 - an immense cost savings that can be combined with state and local incentives.
About Geothermal Heat Pump Opportunities
Recent Congressional legislation has improved the tax credit for the installation of residential geothermal heat pumps. With the new laws, a residential customer who installs a geothermal heat pump may be eligible for a tax credit of 30% of the installed cost of the system, with no limit in place. Geothermal heat pumps are a cost-effective solution to reducing a home's reliance on fossil fuels by harnessing the natural power of the earth to both heat and cool one's home all year long. The government strongly encourages homeowners to invest in renewable energy technology, and these incentives make owning your own heat pump system more affordable than ever.
Available Government Incentives
As part of the economic rescue bill (H.R.1424) passed in October 2008, a residential system installed and placed in service between January 1, 2008 and December 21, 2016 was previously eligible for a tax credit equal to 30% of the installed cost of the system up to a cap of $2,000 for a single residence. The Stimulus Bill signed in 2009 by President Obama improves that tax credit and removes any cap from the incentive. A homeowner is no longer limited, and may collect the full 30% of the installed system cost as a tax credit for systems that are installed after January 1, 2009. In addition, if a homeowner is not able to use the entire tax credit in the year the system is installed, they may carry the unused portion of the credit into the next year.
(Courtesy duplicated from "FHP-Bosch Group")
