There has been some exciting news in the world of tax credits and heating and air. When the American Recovery and Reinvestment Act of 2009 was passed into law, it included a provision allowing a tax credit for a furnace that has a high efficiency blower motor regardless of the thermal efficiency of the gas burner section. Up until recently, the IRS was not recognizing this section of the law and was giving credit only for furnaces that were 95% efficient or greater and this limited many people’s choices, as this model was not always the best choice for everyone. They had not included this important “main air circulating fan” portion of the law failing to realize that in some parts of the country, the largest energy savings can be derived from electric savings from these special fans in 80% efficient furnaces. Now due to a recent ruling by the IRS, two more types of furnaces are now eligible to earn tax credits for the years 2009 & 2010. These are 80% efficient variable speed furnaces with two stage gas valves and 80% efficient single stage furnaces with super high efficient blowers. Both of this types of furnaces can now earn a credit by themselves and not just as a piece of a qualify system. This a great ruling coming just before the winter season when many people will be looking to replace their furnace and cannot afford to install a 95% model or can’t install one due to the type of home they own. Both of these furnaces will save hundreds of dollars a year for people and will provide much lower gas bills over an old 50% to 60% furnace.
On another note:
As we move closer to the beginning of the cooler weather, I want to alert homeowners to a safety problem that has become of epidemic proportions in the last year. Many thousands of homes have had to have their roofs replaced due to hailstorms that hit the metro area in the last couple of years and as we have been going in peoples attics to work on their heating and cooling systems we have noticed some alarming and dangerous problems that need to be brought to peoples attention before heating season arrives and they start using their furnaces. Roofing companies are inadvertently causing problems when replacing roofs by dislodging furnace flues completely and by pushing flues up against the wood decking of homes they are roofing. Most roofers do not come into the inside of the attic to check the furnace flues or chimneys when replacing roofs. We have found numerous flues knocked completely off and many more touching wood decking, which is very dangerous and a code violation. Double wall furnace flues must have 1” clearance from wood and the roofers are accidentally sliding the pipe into the wood and attaching the roof flashing in the wrong place. You can check for this problem by going into the attic with a flashlight and look for the round silver pipe coming from the either the attic furnace or up through the roof of the second floor and make sure it is not touching the decking or has been knocked completely off the furnace. If you have had your roof replaced recently and you are unsure if there is a problem, call your heating and air company to perform an inspection of your furnace flue, as there could be a situation that needs attention before heating season arrives.





Dan,
I feel the above article is somewhat confusing to people. Only 95% AFUE and above natural gas furnaces qualify 100% for the 30% tax credit up to $1,500. If you have any natural gas furnace less than 95% AFUE with an advance main air circulating fan, only the cost attributable to the advance main air circulating fan qualifies as a respective percentage of the furnace cost and installation cost. This is explained clearly in IRS notification 2009-25, 2009-53 dated June 22, 2009.
Rgds,
Joe
the article doesn’t mention heat pumps and whether it would qualify for a tax credit. any info on this?
how would I know what kind of fan is in the unit and would it specifically indicate if it qualifies.?