Geothermal Tax Credits for Scranton Residents Looking to save lots of dough on the installation of that geothermal heating and cooling system you’ve always wanted? Well, this could be your lucky day! The Bipartisan Budget Act of 2018, ratified in February 2018, reinstates the Residential Energy Efficient Property Credit for fuel cells, small wind systems … and geothermal heat pumps. As far as the latter are concerned: This credit will stay in effect from now through December 31, 2021.It offsets 30% of allotted expenditures for systems placed in service between now and December 31, 2019. A gradual decrease in credit value is scheduled for each subsequent year, so if you’re anxious to get the initial 30% credit, you’ll have to act right away.Retrofit systems are considered “placed in service” when they’re totally installed and ready for use. Systems for newly built or newly renovated homes are accounted “placed in service” at the time you, the homeowner, first occupy the home.It’s not necessary that this home be your main residence. Your geothermal heat pump must meet federal ENERGY STAR criteria.To claim the Residential Energy Efficient Property Credit, you must finish and file IRS Form 5695. For more specifics, read our blog as well as this WaterFurnace®-generated bulletin, Understanding the Federal Incentives for Geothermal Heat Pumps. While it’s certainly true that we at Jim Lamberti Contracting Services, LLC would be thrilled to see you get a geothermal heating and cooling system for your Scranton home, we cannot legally lend our approval to any financial strategy for doing so. We can, however, recommend that you employ the services of a nearby tax professional. He or she can direct you on how best to take advantage of geothermal tax credits given your specific financial situation. If you want to discover more about what other energy-related tax incentives might apply to you at the federal, state, and local levels, check out dsireusa.org. This is a unique resource that offers state-by-state data on scores of policies and incentives advancing renewable energy and energy efficiency. And don’t forget: When you’re ready to install a geothermal heating and cooling system in your home, see the Scranton geothermal gurus at Jim Lamberti Contracting Services, LLC. We’ll get the job done right – to help you start saving both energy and money right from the start.