# Tax credits for 2012?



## gregzoll (Dec 25, 2006)

IRS.gov will tell you. As for local utilities, you will have to personally contact them. Personaly, this is one credit that can be done away with, due to only 1% ever meet the criteria. Another should be the electric/hybrid vehical credit and about a hundred other credit allowances.


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## BlueBSH (Oct 29, 2009)

gregzoll said:


> IRS.gov will tell you. As for local utilities, you will have to personally contact them. Personaly, this is one credit that can be done away with, due to only 1% ever meet the criteria. Another should be the electric/hybrid vehical credit and about a hundred other credit allowances.


well the electric / hybrid credit I definatly can agree on you with, especially since electric vehicles are WAY more polutant then gas powered ones when you really look into how they are made and how much polution is created charging them and maintaining them... was just wondering about the furnace credit since I am doing a complete system redo in 2012, some money back is better then nothing...


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## Doc Holliday (Mar 12, 2011)

The higher the SEER rated equipment the lower your monthly electricity bill will be. You will see a return on your investment regarldess the IRS, if you choOse wisely. 

I've installed a complete 14 SEER (low seer rated equipment, not even high end) 410-A systems and the home owner's next month's bill was HALF of hers for the same month the previous year, coming up from an old 10 SEER.

Imagine what an 18 or 20 SEER system will do for you.


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## BlueBSH (Oct 29, 2009)

Doc Holliday said:


> The higher the SEER rated equipment the lower your monthly electricity bill will be. You will see a return on your investment regarldess the IRS, if you choOse wisely.
> 
> I've installed a complete 14 SEER (low seer rated equipment, not even high end) 410-A systems and the home owner's next month's bill was HALF of hers for the same month the previous year, coming up from an old 10 SEER.
> 
> Imagine what an 18 or 20 SEER system will do for you.


yeah, I was looking at a trane xl15i AC unit, my current lenox system is 11 SEER, I think they are up to 16 SEER, not sure I can afford a 20 SEER system :laughing:


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## Doc Holliday (Mar 12, 2011)

Start researching installation practices now so you can inquire as to the company you use's procedures. If they are worth their weight in the amount they are bound to charge you then they should have no problem discussing and then doing ALL practical installations procedures, such as nitrogen purging a line set and vacuuming the line set to below 500 microns, verifying the correct size line set for new system, verifying air flow in static pressure FIRST to make sure your existing system is correct and matching properly to what they plan on installing new to your existing duct work and so and so forth. Duct work is where a lot of problems lay. If your ducts by chance are already too small or too big then they'll have a better idea of what size system to put in to accomodate as well as having a heat load analysis performed to decide the right sized system. May turn out you need all new duct work as well.

I'm not trying to scare you but I am trying to prepare you. One in 100 homes is probably done correctly as it stands today.

Brand name is unimportant, vague at best. Install is everything.


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## BlueBSH (Oct 29, 2009)

Doc Holliday said:


> Start researching installation practices now so you can inquire as to the company you use's procedures. If they are worth their weight in the amount they are bound to charge you then they should have no problem discussing and then doing ALL practical installations procedures, such as nitrogen purging a line set and vacuuming the line set to below 500 microns, verifying the correct size line set for new system, verifying air flow in static pressure FIRST to make sure your existing system is correct and matching properly to what they plan on installing new to your existing duct work and so and so forth. Duct work is where a lot of problems lay. If your ducts by chance are already too small or too big then they'll have a better idea of what size system to put in to accomodate as well as having a heat load analysis performed to decide the right sized system. May turn out you need all new duct work as well.
> 
> I'm not trying to scare you but I am trying to prepare you. One in 100 homes is probably done correctly as it stands today.
> 
> Brand name is unimportant, vague at best. Install is everything.


 
yeah, unfortinautly I do need all new ducts to start with... the main supply trunk is drastically undersized... its 24x8 for a 4000 sq ft house... and the return trunk is only 12x8.... all this with a 125,000 BTU/h furnace (which I think is oversized, the house was originally built with a 80k BTU/h furnace) and the house is 13yrs old only reason the previous owners got one that big was the house wouldnt stay warm, after finding $3,000 in missing insulation that problem is fixed... had complete outside walls with no insulation.....


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## Doc Holliday (Mar 12, 2011)

BlueBSH said:


> yeah, unfortinautly I do need all new ducts to start with... the main supply trunk is drastically undersized... its 24x8 for a 4000 sq ft house... and the return trunk is only 12x8.... all this with a 125,000 BTU/h furnace (which I think is oversized, the house was originally built with a 80k BTU/h furnace) and the house is 13yrs old only reason the previous owners got one that big was the house wouldnt stay warm, after finding $3,000 in missing insulation that problem is fixed... had complete outside walls with no insulation.....


 
Must have a short run cycle on heat, huh? FLAME ON!!? 

"Did someone order human, well done?" Like a pit barbeque.


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## BlueBSH (Oct 29, 2009)

Doc Holliday said:


> Must have a short run cycle on heat, huh? FLAME ON!!?
> 
> "Did someone order human, well done?" Like a pit barbeque.


yeah, it short cycled, one of the first red flags... had the dealer that put it in come out and they said oh looks fine to us.... blah blah, can't go with lenox again because they are the only lenox dealer within 35 miles and over the summer they destroyed (not littearly but it was a pain in the butt to get working correctly again) my A coil by servicing the AC unit wrong.... gota love them.....not...


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## gregzoll (Dec 25, 2006)

BlueBSH, looked at the credits for heatpump vs 16seer a/c, and after all the calculations were said and done, it would have gotten us something like a extra $35 to $60 on taxes, and from the utility, maybe $150 back on the bill. It was not worth it for credits vs costs. I ended up going with a 13seer a/c unit, and after tweaking the thermostat I ended up getting a pretty low bill than what the estimates were.

It really depends on where you live, and the costs for heating and cooling. Look at hybrid heat pump systems, and also look at your lifestyle, and how efficient the home is. You could sink $6500 into a complete system, and have a crappy house that leaks like a sieve in a storm. Seal the leaks, and you will find that you will save even more with the new system, which is what the manufacturer is also looking at, when determining cost savings.


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## PPBART (Nov 11, 2011)

BlueBSH said:


> Anyone know if there are any tax credits for HVAC upgrades in 2012? I found a bunch of IRS documents reference up to 2016 but I've heard people saying they all end in 2011... anyone in the industry know whats going on in 2012?


I'm not in the HVAC industry, but I do work for a major tax return prep firm during tax season. Current IRS rules say that qualifying improvements must be placed into service to the taxpayer’s principal residence located in the US before January 1, 2012.

http://www.irs.gov/newsroom/article/0,,id=249922,00.html

Of course, it could be extended if our do-nothing Congress actually got around to it in the next few weeks(!)


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