Summary of Federal and State Tax Credits/Rebates for Hydronics

For the most up-to-date detail of federal, state and local tax credits, visit dsireusa.org.

Federal Hydronics Tax Credits & Qualifying HVAC Distributors Equipment

Maximum Available
Tax Credit
Product Type

Efficiency Requirements

$150 Natural Gas, Propane or Oil Boilers 95% AFUE Rating
$300 Water Heaters (non-solar) Electric:
Energy Factor ≥ 2.0Gas, Oil, Propane:
Energy Factor ≥ .82 or
Thermal Efficiency ≥ 90%

In Pennsylvania, Philadelphia Gas Works currently has a Residential & Small Business Equipment Rebate program where homeowners can get a $1,500 rebate on the first installed unit and $800 rebate on any additional units installed on the project (using this Homeowner Rebate Form) when the product(s) installed are natural gas boilers with an AFUE of 94% or more.

95%+ AFUE Boilers In-Stock At HVAC Distributors

Water Heaters (Non-Solar) In-Stock At HVAC Distributors that Qualify for the Federal Program

Questions about which product is best to offer your homeowners? Contact your account manager or your local branch. You can also get your customer-specific pricing and product availability immediately by logging in to Web Order Entry (registration and HVAC Distributors customer account required).

Federal Tax Credit Exclusions for 2016
  • The maximum amount an eligible homeowner may receive in federal tax credits for purchasing and installing qualifying products is now 10% of the cost of the improvement, including installation costs, up to $500 (there are per-item limits).
  • The $500 tax credit amount is reduced by the total amount of residential energy property credits a homeowner has claimed for purchases between 2006 and 2016.
  • For full details of exclusions, click here for our March Product & Service News 

Federal Tax Credits on Qualifying Residential Indoor Comfort Systems

The Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 has been extended and revised to provide federal tax credits on qualifying, high-efficiency residential HVAC products and systems through December 31, 2016.

Many Amana systems qualify for these rebates. Goodman has provided tax credit information and a tax certificate for each tax credit product type to the amana-hac web site.

From Goodman:

  • The maximum amount an eligible homeowner may receive in federal tax credits for purchasing and installing qualifying products, whether those purchases are in the form of upgraded insulation, windows, HVAC equipment or other eligible improvements, is now 10% of the cost of the improvement, including installation costs, up to $500 (there are per-item limits).

  • The $500 tax credit amount is reduced by the total amount of residential energy property credits a homeowner has claimed for purchases between 2006 and 2016. If a residential homeowner has already claimed single-family home tax credits of $500 or more from improvements made prior to 2016, he or she cannot claim any new tax credits during 2016.

  • All furnaces and boilers, whether fueled by natural gas, propane or fuel oil, must have an AFUE rating of 95% or higher to be eligible.

  • Products or units must be installed between January 1, 2009, and December 31, 2016, to be eligible for tax credits.

Tax-Credit-Table

Requires:
Installation in an existing home (principal residence only). Not available on new construction or rentals. Complete details of the programs are available here.

You can order qualifying product at any of our HVAC Distributors locations, by phone or through Web Order Entry.