heating and AC, plumbing & electric
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August 15, 2013

2013 Tax Credits: Time's Running Out -- Why Not Use Them This Summer?

2013 Tax Credits: Time's Running Out -- Why Not Use Them This Summer?Did you know that you could be eligible for significant savings that lower the cost of a new energy-efficient air conditioner? By upgrading to a highly efficient cooling system this summer, you can take advantage of the savings offered with the 25C federal tax credits.

Between now and Dec. 31, 2013, you may qualify for tax credits equal to 10 percent of the cost of a new high-efficiency air conditioner or heat pump, up to a $300 limit. In order to qualify, your new air conditioner must meet the following criteria:

  • Qualifying split-system central air conditioners must meet or exceed a Seasonal Energy Efficiency Ratio (SEER) of 16 and an Energy Efficiency Ratio (EER) of 13.
  • Qualifying package system central air conditioners must meet or exceed a SEER of 14 and an EER of 12.
  • To apply, you’ll need to fill out Form 5695 before submitting your 2013 tax forms. You’ll also need to obtain a copy of the Manufacturer’s Certification Statement from your contractor for your records.

Buying an energy-efficient air conditioner is only part of the complete picture for excellent home comfort. With that in mind, here are a few tips you should remember as you take advantage of the 2013 tax credits:

  • Avoid buying an oversized unit. Oversized air conditioners cycle on and off frequently, causing excess wear and tear while raising your utility bills. An oversized unit won’t be able to dehumidify the air as well as a properly sized unit, either.
  • Make sure your contractor sizes and selects your air conditioner according to Manuals J, D and S created by the Air Conditioning Contractors of America (ACCA). Some contractors try to rely on rules of thumb or the size of the previous system, which often results in inaccurate sizing.
  • Make sure your new air conditioner is installed properly. Improper installation can easily rob your air conditioner of its efficiency and performance.

Paschal Heat, Air & Geothermal can help you qualify for tax credits and other incentives before the year is out. We’ve proudly helped homeowners in northwest Arkansas save money on their energy-efficient A/C equipment for more than 40 years.

Our goal is to help educate our customers in Northwest Arkansas about energy and home comfort issues (specific to HVAC systems).  For more information about tax credits and other HVAC topics, download our free Home Comfort Resource guide.

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