Geothermal Pays Off Quick with Tax Credits
Federal Geothermal Tax Credit
Eligible Renewable/Other Technologies: Solar Water Heat, Photovoltaics, Wind, Fuel Cells, Geothermal Heat Pumps, Other Solar Electric Technologies, Fuel Cells using Renewable Fuels
Applicable Sectors: Residential
Amount: 30%
Maximum Incentive: Solar-electric systems placed in service before 1/1/2009: $2,000
Solar-electric systems placed in service after 12/31/2008: no maximum
Solar water heaters placed in service before 1/1/2009: $2,000
Solar water heaters placed in service after 12/31/2008: no maximum
Geothermal heat pumps placed in service in 2008: $2,000
Geothermal heat pumps placed in service after 12/31/2008: no maximum
Equipment Requirements: Solar water heating property must be certified by SRCC or a comparable entity endorsed by the state where the system is installed. At least half the energy used to heat the dwelling’s water must be from solar. Geothermal heat pumps must meet federal Energy Star criteria.
Expiration Date: 12/31/2016
- Iowa Geothermal Tax Credit is equal to 20% of the 30% allowed by the federal geothermal tax credit.
