Tax Incentives & Credits

Taxable Annual Limits: 30% of the project cost (up to a $3,200) annual maximum for all energy efficiency improvements claimed under this credit. As this pertains to LM Wilson and the services we provide, this breaks down to:

• Up to $2,000 annual limit toward the purchase of any combination of air source heat pumps and boilers.
• Up to $1,200 annual limit toward the purchase of any combination of central air conditioners, furnaces, boilers.
• There are per-project limitations as well, which are covered below. For further details about tax credits for other types of energy efficient home improvements, visit energystar.gov.

Date Requirement: Equipment must be purchased and installed January 1, 2023–December 31, 2032.

Property Requirements: Equipment must be installed in an existing home and your principal residence (the place you occupy most of the time). New construction and rentals do not apply. The principal residence must be in the United States and may be a house, houseboat, mobile home, cooperative apartment, condominium, or a manufactured home to qualify.

• You can claim 30% of the project cost, up to a $600 maximum credit.
• The air conditioner must meet the following efficiency requirements:
  • Split Systems: ENERGY STAR certified* equipment with SEER2 ≥ 16
  • Packaged Systems: ENERGY STAR certified equipment with SEER2 ≥ 15.2, EER2 ≥ 11.5 (also including gas/electric package units)

• You can claim 30% of the project cost, up to a $2,000 maximum credit.
• The heat pump system must meet the following efficiency requirements:
  • Ducted Split Systems: ENERGY STAR certified equipment with HSPF ≥ 7.8, SEER2 ≥ 15.2, EER2 ≥11.7
  • Packaged Systems: ENERGY STAR certified equipment with SEER2 ≥ 15.2, EER2 ≥ 11.5 (also including gas/electric package units)
  • Ductless Mini-Split (Non-Ducted) Systems: ENERGY STAR certified equipment with SEER2 ≥ 16, EER2 ≥ 12, HSPF2 ≥9.
  • Heat pump models with the ENERGY STAR Cold Climate* designation:
    • Ducted Systems (split and packaged): SEER ≥ 15.2, EER2 ≥ 10 and HSPF2 ≥ 8.1.
    • Mini-Split Systems: SEER2 ≥ 16, EER ≥ 9, and HSPF ≥ 9.5.