In an effort to continue promoting energy efficiency, the U.S. Internal Revenue Service (IRS) has updated its tax credit offerings for homeowners in 2024. These credits apply to high-efficiency heating, cooling, and water-heating equipment. This blog highlights federal tax credits available for qualifying products, including those from Rheem® Air Conditioning and Rheem® Water Heating divisions. By leveraging these tax credits, homeowners can save money while upgrading their homes with energy-efficient solutions. We will also explore the availability of state, local, and utility rebates in residential energy markets.
Updated Federal Tax Credits for Water Heaters in 2024
The Taxpayer Certainty Disaster and Tax Relief Act continues to provide tax credits for high-efficiency home upgrades. The IRS now offers homeowners a maximum tax credit of 30% of the installation cost of qualifying heating and cooling systems, with a cap of up to $2,000. The new provisions aim to make it more affordable for households to improve energy efficiency.
Nonbusiness Energy Property Credit
Homeowners may receive a tax credit for specific high-efficiency water heating systems. The Rheem® Water Heating Division certifies several models eligible for the $300 credit in 2024, including ENERGY STAR® certified gas water heaters and Hybrid Heat Pump Water Heaters. To qualify, these systems must meet updated ENERGY STAR® criteria for energy performance.
State, Local, and Utility Rebates
In addition to federal tax credits, homeowners can explore other money-saving opportunities through state, local, and utility rebates. For example, certain states and local energy providers offer cash rebates for purchasing ENERGY STAR® certified tankless water heaters or other energy-efficient appliances. Visit the Rheem website's Rebate Center to discover energy efficiency incentives in your area.
In an effort to continue promoting energy efficiency, the U.S. Internal Revenue Service (IRS) has updated its tax credit offerings for homeowners in 2024. These credits apply to high-efficiency heating, cooling, and water-heating equipment and high efficiency toilets. This blog highlights federal tax credits available for qualifying products, including those from Rheem® Air Conditioning and Rheem® Water Heating divisions. By leveraging these tax credits, homeowners can save money while upgrading their homes with energy-efficient solutions. We will also explore the availability of state, local, and utility rebates in residential energy markets.
Updated Federal Tax Credits for Water Heaters in 2024
The Taxpayer Certainty Disaster and Tax Relief Act continues to provide tax credits for high-efficiency home upgrades. The IRS now offers homeowners a maximum tax credit of 30% of the installation cost of qualifying heating and cooling systems, with a cap of up to $2,000. The new provisions aim to make it more affordable for households to improve energy efficiency.
Nonbusiness Energy Property Credit
Homeowners may receive a tax credit for specific high-efficiency water heating systems. The Rheem® Water Heating Division certifies several models eligible for the $300 credit in 2024, including ENERGY STAR® certified gas water heaters and Hybrid Heat Pump Water Heaters. To qualify, these systems must meet updated ENERGY STAR® criteria for energy performance.
State, Local, and Utility Rebates
In addition to federal tax credits, homeowners can explore other money-saving opportunities through state, local, and utility rebates. For example, certain states and local energy providers offer cash rebates for purchasing ENERGY STAR® certified tankless water heaters or other energy-efficient appliances. Visit the Rheem website's Rebate Center to discover energy efficiency incentives in your area.
Why Choose a Tankless Water Heater over a Standard Water Heater?
Tankless water heaters, also known as on-demand water heaters, offer several advantages over standard storage tank water heaters. Here are the top reasons why you might choose a tankless water heater:
Energy Efficiency
- How It Works: Tankless systems heat water only when you need it, eliminating standby heat loss common in storage tanks.
- Energy Savings: According to the U.S. Department of Energy, tankless water heaters can be 24%–34% more energy-efficient for homes using 41 gallons of water or less daily.
Eco-Friendly Option
- Lower Carbon Footprint: Reduced energy usage makes tankless water heaters a more environmentally friendly choice.
- Less Waste: Their longer lifespan means fewer units in landfills over time.
Unlimited Hot Water
- No Running Out: Since water is heated on demand, you won't run out of hot water during long showers or back-to-back use.
- Perfect for Larger Families: Ideal if multiple appliances or fixtures use hot water simultaneously.
Making the Most of Tax Credits and Rebates
Taking advantage of federal tax credits and rebates means significant savings for homeowners while contributing to energy conservation. Rheem® offers a range of high-efficiency products eligible for these credits, ensuring you benefit from energy-efficient heating, cooling, and water heating solutions. With updated tax credit limits and ongoing rebates, now is the perfect time to upgrade your home and cut down on energy bills.
Trust My Georgia Plumber for Energy-Efficient Installations
If you are in Atlanta, Alpharetta, Canton, or nearby areas, My Georgia Plumber is here to help you install energy-efficient appliances and take full advantage of 2024 tax credits and rebates. Contact us at 770-592-0081 or book an appointment online to learn more about energy-efficient solutions for your home.
