central air

Forum|Forum|3 years ago
September 28, 2022
2 replies
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Hi,

What are the specifics of the new tax credit for Central Air installation after January 1, 2023?

OmM1

Hello ira24601,

The central air installation should meet the ENERGYSTAR ratings and the credit is limited 30% with an overall limit of $600.

Hope this is helpful.

Thanks again,

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MariaDG1

You can claim up to 30% of the purchase price of each energy efficient home improvement, but not more than the limit for each type of equipment. The limit for an air conditioner is $600. However, there is also an annual total limit of $1200 per year. So if you want to plan your home improvements, you can take advantage of this credit for several years! Here's a great article with details on the limits.

https://www.kiplinger.com/taxes/605069/inflation-reduction-act-tax-credits-energy-efficient-home-improvements