Contact Information: Editorial Contact: Katie Stafford Godfrey 717-393-3831, ext. 159 kstafford@godfrey.com
Energy Improvement and Extension Act Provides New Federal Tax Incentives for Installation of Geothermal Systems
| Source: WaterFurnace International Inc.
FORT WAYNE, IN--(Marketwire - October 7, 2008) - Home and commercial building owners who
install geothermal heating and cooling systems are now eligible for federal
tax incentives (http://www.dsireusa.org) under the Energy Improvement and
Extension Act of 2008 (http://thomas.loc.gov), passed by Congress Oct. 3 as
part of the economic recovery package.
WaterFurnace International (TSX : WFI ) Vice President of Sales and Marketing,
Phil Albertson, said, "By passing this important piece of legislation,
Congress is encouraging the growth of renewable energy and the small
businesses across the country that support it. WaterFurnace dealers are
excited about these tax incentives and the positive impact it will have on
their business as geothermal systems become increasingly more attractive to
both home and commercial building owners."
The Energy Improvement and Extension Act offers a one-time tax credit of 30
percent of the total investment for residential ground loop or ground water
geothermal heat pump installations, with a maximum credit of $2,000 for a
single residence. The legislation also provides a credit of 10 percent of
the total investment, with no maximum credit, for commercial system
installations.
To qualify for the tax credit residential systems must meet Energy Star
requirements, and legislation is retroactive to residential systems
installed after Dec. 31, 2007. The tax credit for commercial buildings
begins with systems installed after Oct. 3, 2008. Owners can file for the
credit by completing the Renewable Energy Credits subsection on their 2008
tax return forms. No proof of purchase is required. However, in case of an
audit, owners are encouraged to keep a detailed invoice of their purchase
on file. The contractor who sold and installed the product should list the
purchase as a "Geothermal Heat Pump" on the invoice and note that the unit
"Exceeds requirements of the Energy Star program currently in effect."
Tim Shields, Chairman of the Board of WaterFurnace, said, "We believe this
incentive will encourage many more homeowners and business owners to
install geothermal heat pumps. Geothermal heat pumps are made right here in
the U.S. and the machines used to put the renewable heat exchangers in the
earth are all made right here. Every system installed requires skilled US
labor and more installations mean more jobs. This is truly a homegrown
solution to the energy crisis and a very good way to address the financial
crisis at the same time. The systems were already growing in popularity,
but this stimulus will help us have the impact on the economy and the
environment much more quickly."
Geothermal systems tap the free, completely renewable, supply of solar
energy stored just a few feet below the Earth's surface and use that energy
to drive heating and cooling system in both residential and commercial
buildings. In addition to utility, state and now federal tax incentives
that enhance the affordability of geothermal systems, this cost-effective,
environmentally friendly technology offers a host of benefits that
includes:
-- Free, renewable supply of solar energy
-- Efficiency ratings up to five times higher than those of ordinary
heating and cooling systems
-- Savings on utility bills up to 70 percent
-- Reduced carbon footprint since the system burns no fossil fuels
-- More even distribution of heating and cooling for improved comfort
-- Improved indoor air quality
-- Quiet operation with no noisy outdoor units to disturb the environment
or neighbors
-- Safe operation that requires no open flame or fuel storage tanks
-- Less maintenance
-- Increased system longevity (an average life span of 24 years vs. 15 for
conventional air conditioners and 20 years for fossil fuel furnaces)
For more information about the benefits of a geothermal heating and cooling
system, visit http://www.waterfurnace.com/geo_energy.aspx or contact your
local WaterFurnace representative.
To learn more about the new federal tax credits, visit
http://thomas.loc.gov or contact your local tax professional.
WaterFurnace International, Inc.
WaterFurnace International, Inc. is the leading manufacturer of
residential, commercial, industrial and institutional geothermal and water
source heat pumps. Products from WaterFurnace include energy-efficient and
environmentally friendly geothermal comfort systems, indoor air quality
products and pool heaters. WaterFurnace (TSX : WFI ) was founded in 1983, the
company is headquartered in Fort Wayne, Ind.
For additional information, please visit www.waterfurnace.com.