1. Eligible taxpayers can claim 10% of equipment costs excluding labor, up to a maximum total of $500 in the calendar year 2011 for high efficiency residential equipment.
2. An individual or household lifetime cap of $500, which dates back to January, 2006 has been added under this 2011 program. For example, if an individual has claimed the federal section 25C tax credit at any time since 2006, for any qualifying energy efficiency upgrade up to or over $500, they would be ineligible to claim the credit in 2011.
3. As of January 1, 2011, the new tax credit levels will be at pre-ARRA or stimulus levels:
   
   1. Maximum of $50 for any furnace advanced main air circulating fan (where the total electricity use is equal to or less than 2% of the total energy used by the furnace). These furnaces are identified in the AHRI directory as electrically energy efficient.
      
   2. Maximum of $150 for any qualified natural gas, propane or oil furnace or hot water boiler with an AFUE of 95% or greater.
      
   3. Maximum of $300 for any energy-efficient building property equipment (i.e. Central Air Conditioners or Heat Pumps)
      
      1. Split system Air Conditioners must be rated at 16 SEER/13 EER or above.
         
      2. Split system Heat Pumps must be rated at 15 SEER/12.5 EER/8.5 HSPF or above.
         
      3. Package air conditioner must be rated at 14 SEER/12 EER or above.
         
      4. Package heat pump must be rated at 14 SEER/12 EER/8 HSPF or above.
         
      5. Package gas /electric outdoor unit must be rated at 14 SEER/12 EER or above.
         
4. Equipment must be placed in service after 12/31/2010 and before January1, 2012.
   
5. The process to claim these tax credits remains the same, where the consumer will file IRS form F5695 with their 2011 tax return to get their tax credit. As always when dealing with federal tax credits, the consumer/customer is encouraged to contact a tax professional to determine their eligibility for these credits.

With these changes, the 2011 Federal tax credit program does provide benefits to consumers to purchase high efficiency residential HVAC equipment. The published Coleman Tax Credit Certificates are being updated at this time to reflect these changes for 2011. Please note that since the efficiency levels did not change, all systems and units that met the criteria for the federal tax credits in 2010 are still eligible to receive these tax credits in 2011, just at these lower dollar amounts.

As always, the best method to check for new system matches is to go the AHRI website at www.ahridirectory.org and search the applicable Product Directory (AC, Heat Pumps, or Furnaces) and conduct a search for any unit or system matches for ratings that are in the database. Any distributor, contractor, or consumer may search for the system information and download a certificate showing the efficiency levels for that equipment as validated through the AHRI voluntary certification program. The certificates available from the AHRI website meet all requirements for documentation of system ratings needed by the IRS, and may be used in place of the certificates provided by the equipment manufacturer.

Download Certificate (1535 KB PDF)

Download FAQ (160 KB PDF)