Geothermal Tax Credits for Wilmington Residents Looking to save big bucks on the installation of that geothermal heating and cooling system you’ve always fancied? Well, this could be the time! The Bipartisan Budget Act of 2018, signed 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 remains in effect from now through December 31, 2021.It pays back 30% of designated expenditures for systems placed in service between now and December 31, 2019. A gradual reduction in credit value is set up for each year thereafter, so if you’d like the full 30% credit, you’ll have to move quickly.Retrofit systems are counted as “placed in service” when they’re fully installed and ready for use. Systems for newly constru|ere]36]cted or newly renovated homes are accounted “placed in service” at the time you, the homeowner, first inhabit the home.It’s not a requirement that this home be your chief residence. Your geothermal heat pump must meet federal ENERGY STAR specifications.To claim the Residential Energy Efficient Property Credit, you must fill out and file IRS Form 5695. For additional information, see our blog as well as this WaterFurnace®-prepared bulletin, Understanding the Federal Incentives for Geothermal Heat Pumps. Even though we at O'Brien Service Company would love to see you purchase a geothermal heating and cooling system for your Wilmington home, we cannot legally support any financial tactics for doing so. We can, however, recommend that you consult with a local tax professional. He or she can direct you on how best to profit from geothermal tax credits in light of your unique financial situation. If you’d like to discover more about what other energy-related tax incentives might be applicable to you at the federal, state, and local levels, visit dsireusa.org. This is a unique resource that has state-by-state intelligence on thousands of policies and incentives designed to stimulate renewable energy and energy efficiency. And bear in mind: When you’ve made up your mind to install a geothermal heating and cooling system in your home, go with the Wilmington geothermal specialists at O'Brien Service Company. We’ll do the job right – to help you start saving both energy and money right from the start.