Mini-Split Musings

Tax Credits on DHPs Mean Greater Savings

October 19, 2016

When you choose a Ductless Heat Pump, it’s important to choose a system with an Energy Star certification. When you choose an Energy Star system certified by the US Environmental Protection Agency, you may qualify for a federal tax credit. All of the products that Alpine Ductless Heating and Air-Conditioning offers are Energy Star certified.

How does a heating and cooling system earn an Energy Star rating? It has to meet or exceed SEER and HSPF ratios. Okay, some definitions are required here:

Seasonal Energy Efficiency Ratio (SEER, think air-conditioning) is the total heat removed from a conditioned space during cooling season divided by the electrical energy used.

Heating Seasonal Performance Factor (HSPF, think heating) refers to the ratio between the total space heating required during heating season and total electrical energy used by a heat pump system.

To meet the criteria for an Energy Star certification, a Ductless Heat Pump must have a SEER ratio of greater than or equal to 15; and an HSPF ratio of greater than or equal to 8.5 HSPF

What does this mean for you, the consumer? First of all, the benefits of higher ratios mean greater monthly savings on your heating and cooling costs. And, you’re saving energy. That’s good for the planet. Finally, buying an Energy Star certified Ductless Heat Pump means that you may qualify for a federal tax credit of up to $300. More savings!

How does one get this tax credit? In the year that you have your cost-saving, energy-efficient Energy Star certified Ductless Heat Pump installed, tell your tax accountant what you’ve done and that you may qualify for a federal tax credit because you are a responsible, energy saving tax-payer. Make sure that you’ve saved all of your product information. In case your accountant does not know of this tax credit, please direct him or her to this website: https://www.energystar.gov/about/federal_tax_credits/air_source_heat_pumps

So, not only can you save money on the purchase of a Ductless Heat Pump through rebates, low-interest loans, and certain grant programs at the time of purchase, you can also take advantage of a tax credit at the end of the year. What are you waiting for? Contact us today at info@alpineductless.com, or call 253-381-8743 or 360-529-7567. We're locally owned and operated.

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