Home Perks During Tax Season: Upgrading Your HVAC System

There are several benefits to conducting home improvements, beyond simply making your life more comfortable. If you purchased a new HVAC system in 2021, then you might be able to claim it on your taxes.

Air Conditioner with Clipboard and Paper

Air conditioner with clipboard and paper


The Internal Revenue Service provides a tax credit to homeowners that make energy efficient improvements to a property listed as their primary residence. This includes but is not limited to upgrades made to the roof, windows, doors, insulation, water heaters, biomass stoves and HVAC units.

If your new heating and cooling system meets the federal guidelines for the 25c tax credit, you can expect 10% of the installation costs or up to $500 deducted from their taxes.

What Air Conditioners Qualify For A Tax Credit?

In order to receive this credit, you’ll need to make sure your new unit meets the Seasonal Energy Efficiency Ratio (SEER) and Energy Efficiency Ratio (EER) guidelines. For homeowners, these ratios will be difficult to determine without the help of a certified HVAC contractor.

Once a contractor determines your unit meets federal guidelines for energy efficiency, you can claim this upgrade on the IRS’ Residential Energy Credit form. You’ll want to pay special attention to lines 22 through 30 to calculate all of the energy efficient upgrades you made in 2021.

Schedule Heating and Air Conditioning Services In Lakeview

For over 100 years, Deljo Heating and Cooling has been the top HVAC contractor throughout Chicago’s many neighborhoods. Whether you need a minor repair or new HVAC system installed, you can count on our professionals to get the job done efficiently and precisely.

If you’re seeking a reliable HVAC installation contractor, look no further than Deljo Heating and Cooling for help today.

Ductless Systems