Geothermal Tax Credits for Burlington Residents Looking to save lots of cash on the installation of that geothermal heating and cooling system you’ve always fancied? Well, this could be your chance! The Bipartisan Budget Act of 2018, approved in February 2018, reinstates the Residential Energy Efficient Property Credit for fuel cells, small wind systems … and geothermal heat pumps. As far as the latter are concerned: This credit will be in effect from now through December 31, 2021.It pays back 30% of pre-identified expenditures for systems placed in service between now and December 31, 2019. A measured decrease in credit value is set up for each succeeding year, so if you’d like the total 30% credit, you’ll have to take action fast.Retrofit systems are regarded as “placed in service” when they’re totally installed and ready for use. Systems for newly built or newly renovated homes are accepted as “placed in service” on the day you, the homeowner, first settle into the home.It’s not a requirement that this home be your main residence. Your geothermal heat pump must comply with federal ENERGY STAR recommendations.To receive the Residential Energy Efficient Property Credit, you should complete and file IRS Form 5695. For more specifics, review our blog. Even though we at Crabbe Service would love to see you purchase a geothermal heating and cooling system for your Burlington home, we cannot legally endorse any financial strategy for doing so. We can, however, recommend that you seek the services of a local tax professional. He or she can direct you on how best to profit from geothermal tax credits in light of your singular financial situation. If you want to discover more about what other energy-related tax incentives might apply to you at the federal, state, and local levels, check out dsireusa.org. This is a one-of-a-kind resource that has state-by-state facts on untold numbers of policies and incentives advancing renewable energy and energy efficiency. And remember: When you’re ready to install a geothermal heating and cooling system in your home, call on the Burlington geothermal professionals at Crabbe Service. We’ll get the job done right – to help you start saving both energy and money right from the start.