A taxpayer may claim a credit of 30% of qualified expenditures for a geothermal system that serves a dwelling unit located in the United States that is owned and used as a residence by the taxpayer. Expenditures with respect to the equipment are treated as made when the installation is completed. If the geothermal installation is at a new home, the "placed in service" date is the date of occupancy by the homeowner. Expenditures include labor costs for on-site preparation, assembly or original geothermal system installation, and for piping or wiring to interconnect a system to the home. If the federal tax credit exceeds tax liability, the excess amount may be carried forward to the succeeding taxable year. The maximum allowable credit varies by in service date.
Contact Hinrichsen Heating and Cooling at 309-965-2604 to schedule an appointment to see how a Geothermal System can help heat & cool your, home, while providing up to a 60% savings off of your annual utility bills.
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