Tax Credits and Rebates
Current Opportunities
Click category title for more information:
Tax Credits for qualified Geothermal systems are also available!
Low interest and zero-interest loans may be available through the MASSSave and CoolSmart programs along with rebates for oil and propane installation.
High-efficient units can save up to 35% – 40% on heating and cooling costs. See below.
Example of Energy Savings
New High Efficient Boiler & Water Heater $10,000
Gas Company Rebate -1,500 for 96% AFUE
Cost $8,500
Energy Savings
Current cost to heat your home annually $1,800
Energy Savings with new system (33%) $600
Monthly Payment on New System (with Low or No Interest Loan):
$50 x 12 months = $600 / year
The monthly energy savings of the new system ($50)
offsets the monthly loan payment on your new upgraded system!
PLUS … manufacturers often offer their own incentives!
| FUEL | SYSTEM | REQUIREMENT | REBATE AMOUNT | ||||
| OIL | Furnace with ECM Blower | AFUE ≥ 86% | $650 | ||||
| Hot Water Boiler | AFUE ≥ 86% | $800 | |||||
| Indirect Water Heater | Connected to Hot Water Boiler | $400 | |||||
| PROPANE | Furnace with ECM Blower | AFUE ≥ 95% | $1,000 | ||||
| Hot Water Boiler | AFUE ≥ 90% | AFUE ≥ 95% | $1,500 | $2,300 | |||
| Condensing Boiler with On-Demand Water Heater | AFUE ≥ 95% | $2,000 | |||||
| ENERGY STAR Qualified On-Demand Tankless Water Heater | UEF ≥ 0.87 w/electronic Ignition | $800 | |||||
| Indirect Water Heater | Connected to Hot Water Boiler | $400 | |||||
| NATURAL GAS | Furnace with ECM Blower | AFUE ≥ 95% | AFUE ≥ 97% | $1,000 | $1,250 | ||
| Hot Water Boiler | AFUE ≥ 90% | AFUE ≥ 95% | $2,000 | $2,750 | |||
| Condensing Boiler with On-Demand Water Heater | AFUE ≥ 95% | $2,400 | |||||
| Furnace with ECM with On-Demand Water Heater | AFUE ≥ 97% | $950 | |||||
| ENERGY STAR Qualified On-Demand Tankless Water Heater | UEF ≥ 0.87 w/electronic Ignition | $700 | |||||
| Indirect Water Heater | Connected to Hot Water Boiler | $400 | |||||
| ENERGY STAR Qualified Condensing Gas Water Heater | UEF ≥ 0.80 | $500 | |||||
| ENERGY STAR Qualified Storage Water Heater | UEF ≥ 0.64 Medium DrawUEF ≥ 0.68 High Draw | $100 | |||||
| ANY | Central A/C, Ducted | SEER ≥ 16, EER ≥ 13 | $50/Ton | ||||
| Central Heat PumpMini-Split Heat Pump | Refer to Heat Pump Qualified Products List at MassSave.com/HPQPL | $250/Ton | |||||
| OIL OR PROPANE | Central Heat PumpMini-Split Heat Pump | · Refer to Heat Pump Qualified Products List at MassSave.com/HPQPL· Integrated Controls required unless central heating system is removed. Refer to Integrated Controls Qualified Projects List at MsassSave.com/ICQPL | $1,250/Ton | ||||
| OIL OR PROPANE | Integrated Controls | · Add-on to existing central or mini-split heat pump system· Integrated Controls required unless central heating system is removed. Refer to Integrated Controls Qualified Projects List at MsassSave.com/ICQPL | Up to $500 per indoor unit, max of $1,500 | ||||
| Electric Resistance Heat | Central Heat PumpMini-Split Heat Pump | 900 kWh difference between sum of 3 winter-usage and 3 lowest-usage months | $1,250/Ton | ||||
| ANY | Heat Pump Water Heater | ≥ 55 gallons, UEF ≥ 2.7 | ≤ 55 gallons, UEF ≥ 2.0 | $150 | $600 | ||
| ANY | Programmable Thermostat | New Only. Limit 4 per account | $25/Thermostat | ||||
| ANY | ENERGY STAR Certified Smart Thermostat | New Only. Limit 4 per account. Wireless connections must be enabled. See MassSave.com/Thermostats for qualified models | $100/Thermostat | ||||
The easiest way to determine whether you are eligible for any of these rebates, credits or discounts is to contact an HVAC expert. Get in touch today to schedule a free, no-obligation consultation. We can help you more accurately calculate your true return on investment and get the most bang for your buck.For more info on the specific rebates and how to claim them, see the Mass Save website: www.masssave.com/en/saving/residential-rebates
UPDATED JANUARY 2020: The Non-Business Energy Property Tax Credits have been retroactively extended from 12/31/2017 through 12/31/2020
Tax Credit: 10% of cost up to $500 or a specific amount from $50-$300.
Expires: December 31, 2020
Details: Must be an existing home & your principal residence. New construction and rentals do not apply.
Heat Pumps
Heat pumps that are ENERGY STAR certified meet the requirements for this tax credit.
Tax Credit Amount: $300
Requirements
Split Systems:
HSPF >= 8.5
EER >= 12.5
SEER >= 15
Package systems:
HSPF >= 8
EER >= 12
SEER >= 14
Air Conditioning
Air conditioners recognized as ENERGY STAR Most Efficient meet the requirements for this tax credit. To verify tax credit eligibility, ask your HVAC contractor to provide the Manufacturer Certification Statement for the equipment you plan to purchase.
Tax Credit Amount: $300
Requirements
Split Systems:
SEER>= 16
EER >= 13
Package systems:
SEER >= 14
EER >= 12
Boilers
Gas-powered boilers that are recognized as ENERGY STAR Most Efficient meet the requirements of this tax credit.
Tax Credit Amount: $150
Requirements
AFUE >= 95
Tax Credit includes installation costs.
Furnaces
Gas furnaces that are ENERGY STAR certified (except those for U.S. South only) meet the requirements for the furnace tax credit. Gas and oil furnaces that have earned the ENERGY STAR include fans that meet the requirements of the fan tax credit.
Tax Credit Amount: $150
Requirements
AFUE >= 95
Water Heaters
Gas, Oil, Propane Water Heater
Certain ENERGY STAR certified gas water heaters meet the requirements for this tax credit. Water heaters account for 12% of the energy consumed in your home.
Tax Credit Amount: $300
Requirements
Uniform Energy Factor (UEF) >= 0.82 OR a thermal efficiency of at least 90%.
Electric Heat Pump Water Heater
Most ENERGY STAR certified water heaters meet the requirements of this tax credit. Water heaters account for 12% of the energy consumed in your home.
Tax Credit Amount: $300
Requirements
Uniform Energy Factor (UEF) >= 2.2
Advanced Main Air Circulating Fan
An Advanced Main Air Circulating Fan is an efficient fan, or blower motor which blows the air that your furnace heats up through the duct system.
Tax Credit Amount: $50
Requirements
Must use no more than 2% of the furnace’s total energy.
