Get up to $2,000 in tax credits through the Inflation Reduction Act.
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Get up to $2,000 in tax credits through the Inflation Reduction Act.
Request Estimate
Contact information
"*" indicates required fields
Contact us for details.
Inflation Reduction Act
THE IMMEDIATE AND LONGER-TERM IMPACT OF THE INFLATION REDUCTION ACT EXPLAINED
Bryant high-efficiency heating and cooling systems offer a number of consumer benefits. From energy savings to comfort-enhancing innovations like Evolution™ Extreme, to quieter operation, there’s a lot to like. And now there’s another benefit, thanks to Uncle Sam: The Inflation Reduction Act of 2022.
WHAT IS THE INFLATION REDUCTION ACT OF 2022?
The U.S. Government has passed the Inflation Reduction Act of 2022, a piece of legislation covering a broad spectrum of initiatives, including health care costs, clean energy, and the federal deficit among others.1 Of particular interest to homeowners, home builders and HVAC contractors, this act includes a number of incentives for the installation of high-efficiency home heating and cooling products, including:
- $4.3 billion in state-administered rebates on ENERGY STAR® certified equipment
- Extension and expansion of 25C, 25D, and 45L tax credits for CEE Highest Efficiency and ENERGY STAR® certified equipment
While these initiatives do support increased emphasis on selling high-efficiency Bryant comfort systems, we recommend taking a measured approach with your customers. Rebate programs will take time to develop and will be subject to availability, and 25C tax credits available for 2022 will increase starting in 2023.2 This guide will take a closer look at rebates and tax credits, then offer some recommendations on how to use the Inflation Reduction Act of 2022 to help sell Bryant high-efficiency systems.
THE REALITY ABOUT THE REBATES
While the $4.3 billion rebate budget certainly catches your eye, it’s best to be patient and attentive to details for now. Here’s why:
- Funds will be allocated to state energy offices with a fair amount of discretion on how they will be used.
- Depending upon the state, rebate programs may take some time to get implemented.
- Funding allocations will vary from state-to-state.
- The rebate program will not be available to all households. Households earning less than 80% of the median income can qualify for the full benefit. Those earning between 80 – 150% of the average median may be eligible for a partial (50%) benefit.
- Rebates will be subject to availability – the funds are capped, so they may run out before the ten-year period is over.
In contrast, the tax credits are in place now, and will continue to be available for the next decade.