Save money on your new system — federal tax credits and utility rebates can be stacked. Updated May 2026.
The Inflation Reduction Act (2022) created the most significant HVAC tax incentives in years. These apply to qualifying equipment installed in your primary residence:
| Equipment | Maximum Credit |
|---|---|
| Qualifying heat pumps (air-source) | Up to $2,000 |
| Qualifying central air conditioners | Up to $600 |
| Qualifying gas furnaces (≥97% AFUE) | Up to $600 |
| Qualifying heat pump water heaters | Up to $2,000 |
Important: The $600 appliance credit is part of a $1,200 annual cap on energy efficiency credits (separate from the $2,000 heat pump credit which has its own cap). These credits can often be stacked with utility rebates. Consult your tax professional for advice specific to your situation.
We provide manufacturer certification documentation for every qualifying system we install.
AES Indiana and other local utilities periodically offer rebates on qualifying high-efficiency equipment. These change throughout the year and vary by utility.
When we prepare your estimate, we'll check current rebate availability for the equipment we recommend and factor it into your total cost. Call us for current availability: 317-782-1900
In many cases, federal tax credits and utility rebates can be combined — meaning the net cost of a new high-efficiency system can be significantly lower than the sticker price. We'll walk through the numbers with you during your free estimate.
Credits apply through December 31, 2032 — there's time, but no reason to wait if your system is aging.
We handle all documentation — we provide the manufacturer certification paperwork you need to claim your tax credit. No extra work on your end.
We'll show you exactly which credits and rebates apply to your situation and factor them into your estimate.
Call 317-782-1900