Geothermal Tax Credits for Tennessee Valley Residents Looking to save a ton of money on the installation of that geothermal heating and cooling system you’ve always dreamed of? Well, this could be the time! The Bipartisan Budget Act of 2018, ratified in February 2018, reinstates the Residential Energy Efficient Property Credit for fuel cells, small wind systems … and geothermal heat pumps. As far as the latter are concerned: This credit applies from now through December 31, 2021.It rebates 30% of specified expenditures for systems placed in service between now and December 31, 2019. A measured decrease in credit value is set up for each successive year, so if you want the initial 30% credit, you’ll have to move quickly.Retrofit systems are judged “placed in service” when they’re completely installed and ready for use. Systems for newly constru|ere]36]cted or newly renovated homes are considered “placed in service” at the time you, the homeowner, take occupancy of the home.The home does not have to be your principal place of residence. Your geothermal heat pump has to comply with federal ENERGY STAR criteria.To claim the Residential Energy Efficient Property Credit, you’ll need to finish and file IRS Form 5695. For more specifics, read our blog as well as this WaterFurnace®-generated bulletin, Understanding the Federal Incentives for Geothermal Heat Pumps. While it’s certainly true that we at Southern Solar Systems would love to see you install a geothermal heating and cooling system for your Tennessee Valley home, we cannot legally lend our approval to any financial plan for doing so. We can, however, recommend that you employ the services of a nearby tax professional. He or she can educate you on how best to profit from geothermal tax credits considering your unique financial situation. If you’re eager to discover more about what other energy-related tax incentives might be there for you at the federal, state, and local levels, check out dsireusa.org. This is an unusual resource that offers state-by-state data on thousands of policies and incentives promoting renewable energy and energy efficiency. And don’t forget: When you’ve finally decided to install a geothermal heating and cooling system in your home, depend on the Tennessee Valley geothermal pros at Southern Solar Systems. We’ll get the job done right – to help you start saving both energy and money right from the start.