Pine County Energy-Savers Take Note:
30% Federal Geothermal Tax Credit Reinstated!

You know that clean-running, low-maintenance, amazingly energy-efficient geothermal heating and cooling system you’ve been dreaming about but couldn’t afford? Well, despair not! Because, as of February 2018, the federal government’s 30% geothermal tax credit is now back in effect! And what was previously a financial impossibility may now be well within reach, be it for a new home you’re building in Pine County or for the updating of your existing home. You’ll need to act soon, though, because the federal tax credit amount is slated to decrease each year through 2021.

Here are the important facts:

  • A full 30% of the total cost of your geothermal system is covered by this credit through 2019. Starting in 2020, then, just 26% of the total cost is covered. And in 2021, just 22%.
  • The federal geothermal tax credit can be applied retroactively to installations that are “placed in service” as of January 1, 2017, or thereafter. “Placed in service” means that the installation of your geothermal heating and cooling system is completely done and the equipment is ready for use. If, however, your system is part of a newly built or newly renovated home, it’s considered “placed in service” at the time you take up residence.
  • What’s eligible for the tax credit is geothermal equipment that, a) makes use of solar energy cached underground for heating and cooling and, b) meets all ENERGY STAR requirements at the time of installation.
  • Covered expenditures take into consideration labor for onsite preparation, assembly, or original system installation and for the piping or wiring that links your geothermal system to your home.
  • There is no limit to the credit amount.

Like more details? Your Pine County geothermal pros at Willow River Geothermal will be more than happy to answer any questions you have about this exciting new opportunity to put geothermal heating and cooling to work for you – affordably!

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