Ohio HVAC Tax Credits & the Inflation Reduction Act: What You Need To Know
As a homeowner in Ohio, there’s no doubt that you’ve been feeling the impact of inflation on your everyday costs. With the implementation of the Inflation Reduction Act, there might be a silver lining for your wallet.
What Is the Inflation Reduction Act?
The Inflation Reduction Act of 2022 is a piece of legislation designed to reduce the effects of rising costs on everyday American households. This act includes provisions for various tax credits and incentives, particularly in the field of energy efficiency.
2023 through 2032, the overall total limit for an efficiency tax credit earned cannot exceed $3,200.
It breaks down to an annual limit of $1,200 for home improvements, including:
- Eligible furnaces
- Qualifying boilers
- Approved central air conditioners
Any combination of heat pumps, water heaters, and biomass stoves or boilers is subject to an annual total limit of $2,000.
How Will It Impact My Next HVAC Project?
The Inflation Reduction Act has a significant bearing on your next HVAC project, especially if you’re considering switching to more energy-efficient systems. The act includes tax incentives for homeowners who shift toward greener, more sustainable heating and cooling options. The transition to this type of system not only aids in reducing energy consumption but also translates to long-term savings on your energy bills.
How Much Can I Save Switching to a Heat Pump System?
The exact savings when switching from a traditional HVAC system vary depending on factors such as your current system’s efficiency, your home’s insulation, and the unit you choose. However, the average Ohio homeowner can expect to save between 30% to 40% on yearly heating costs. Add the potential tax credits from the Inflation Reduction Act, and you could see even greater savings.
Looking for a trustworthy team for heat pump installation services? Call Kobella at (440) 729-2099.
The Seasonal Advantages of a Heat Pump System in Ohio
Living in Ohio, you’re familiar with the changing weather throughout the four seasons. But did you know that this type of system can adapt to these changes, providing efficient heating and cooling all year round?
Spring and Autumn
Heat pumps operate at peak efficiency during the mild spring and fall months. Instead of generating heat, it simply moves existing heat from one place to another. It removes warm air from your home during spring, keeping it cool. It can provide just enough warmth in the fall to stave off the evening chill. This efficiency can lead to noticeable savings on your energy bill.
When the Ohio summer hits, a heat pump system acts as an air conditioner, removing heat from your home to keep it cool. They often have higher SEER (Seasonal Energy Efficiency Ratio) ratings than traditional air conditioners, making them more energy-efficient and cost-effective in the long run.
Winters in Ohio can be harsh, but modern systems are designed to provide efficient heating even in cold temperatures. While older models were less efficient in colder climates, technological advances have significantly improved their performance. They can extract heat from the outdoor air, even when it feels cold outside, and transfer it indoors to warm your home.
While it can handle most of the heating needs of an Ohio winter, there may be extremely cold days when it needs some help. In these cases, it uses a backup heating source, ensuring you stay warm no matter the temperature outside.
Why Choose Kobella?
Since 2006, Kobella Plumbing, Heating & Cooling, a veteran-owned business, has been dedicated to providing top-notch services to homeowners across Northeast Ohio. Our selective hiring process guarantees you quality service from experienced professionals. With nearly two decades in business, we are committed to helping you make the most out of the Inflation Reduction Act’s benefits.
Why Choose Kobella Plumbing Heating Cooling?
We Proudly Offer Simply Great Service
- Licensed, bonded & insured business
- Background-checked technicians
- Financing options
- Veteran-owned & -operated by Michael Kobella
- Best-in-class workmanship
- Responsive & prompt technicians
- Customized solutions offered