Northern Colorado Energy-Savers Celebrate:
30% Federal Geothermal Tax Credit Reinstated!

You know that smooth-operating, low-maintenance, amazingly energy-efficient geothermal heating and cooling system you’ve been wanting but couldn’t afford? Well, despair not! Because, as of February 2018, the federal government’s 30% geothermal tax credit is reinstated! And what was once unattainable may now be well within your means, be it for a new home you’re building in Northern Colorado or for the upgrading of your present home. You’ll have to act right away, though, because the federal tax credit amount is scheduled to decrease each year through 2021.

Here are the principle facts:

  • A full 30% of the ultimate cost of your geothermal system is covered by this credit through 2019. In 2020, then, just 26% of the total cost is covered. And in 2021, only 22%.
  • The federal geothermal tax credit can be applied retroactively to installations that are “placed in service” as of January 1, 2017, or beyond. “Placed in service” indicates that the installation of your geothermal heating and cooling system is completely done and the equipment is ready for use. That said, your system is part of a newly built or newly renovated home, it’s deemed to be “placed in service” when you take up residence.
  • What’s eligible for the tax credit is geothermal equipment that, a) uses solar energy stored in the earth for heating and cooling and, b) fulfills all ENERGY STAR requirements at the time of installation.
  • Covered expenditures encompass labor for onsite preparation, assembly, or original system installation and for the piping or wiring that links your geothermal system to your home.
  • There is no limit to the credit amount.

Need more specifics? WaterFurnace® has gathered them for you in this nifty flier, Understanding the Federal Tax Incentives for Geothermal Heat Pumps. And, of course, your Northern Colorado geothermal pros at Comfort By Nature will be happy to answer any questions you have about this thrilling new opportunity to put geothermal heating and cooling to work for you – affordably!