Geothermal Tax Credits for Des Moines Residents Looking for big savings on the installation of that geothermal heating and cooling system you’ve long fancied? 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. Regarding the latter: This credit remains in effect from now through December 31, 2021.It pays back 30% of approved expenditures for systems placed in service between now and December 31, 2019. A progressive step-down in credit value is set up for each year thereafter, so if you’d like the total 30% credit, you’ll have to move right away.Retrofit systems are regarded as “placed in service” when they’re completely installed and ready for use. Systems for newly built or newly renovated homes are judged “placed in service” on the day you, the homeowner, take occupancy of the home.It’s not necessary that this home be your chief residence. Your geothermal heat pump must fulfill all federal ENERGY STAR recommendations.To claim the Residential Energy Efficient Property Credit, you should fill out and file IRS Form 5695. For more specifics, read our blog as well as this WaterFurnace®-created bulletin, Understanding the Federal Incentives for Geothermal Heat Pumps. Though it’s a given that we at Sherman Co. LLC would be thrilled to see you get a geothermal heating and cooling system for your Des Moines home, we cannot legally prescribe any financial tactics for doing so. We can, however, recommend that you employ the services of a nearby tax professional. He or she can advise you on how best to capitalize on geothermal tax credits taking into account your individual financial situation. If you’d like to learn more about what other energy-related tax incentives might be there for you at the federal, state, and local levels, visit dsireusa.org. This is a one-of-a-kind resource that offers state-by-state information on untold numbers of policies and incentives encouraging renewable energy and energy efficiency. And don’t forget: When you’re ready to install a geothermal heating and cooling system in your home, depend on the Des Moines geothermal experts at Sherman Co. LLC. We’ll do the job right – to help you start saving both energy and money right from the start.