Tax Credits for Tankless Water Heaters
Governments world over encourage people cut energy use. In the US, the federal tax credits for energy efficiency improvements to homes were reinstated a the beginning of 2009. The tax credit applies to improvements made from January 1, 2006 through December 31, 2007. It was reinstated as part of the Emergency Economic Stabilization Act of 2008.
There are tax credits for various home improvement equipments . The federal tax credits are now up to $300 for new high-efficiency air conditioners, heat pumps, and and corn-fueled stoves.
It is up to $150 for high-efficiency furnaces and boilers. There is also a tax credit for 30% of the cost of eligible geothermal heat pumps, up to $2,000, valid until 2016. The maximum amount of homeowner credit for all improvements combined is $500.
So, before e you buy a new water heater, you need to see if yours qualifies for a tax credit. To qualify for tax credit, the water heater must have an energy factor of 0.8. It should also be supported by the Manufacturer's Certification Statement. Only some tankless water heaters currently qualify for the tax credit.