For the energy tax credit- if i replaced a geothermal heat pump with another geothermal heat pump, does that count ?or is it only for initial installation?

[Vanessa A]

Yes, that counts.  If you installed and placed in service a new Geothermal unit, that meets the Energy Star requirements, in 2025 as a replacement for the old one, then you would be eligible for the tax credit.  It must be a brand new one, not a used one. The expenses that you include are both the product itself and the cost of installation.  However, if you installed it yourself, you cannot "pay yourself" for the installation. 

Remember, The Residential Energy Credit is a non-refundable credit, however this one can be carried forward to future tax years until this credit goes away which is currently set to happen in 2034.  This credit is worth up to 30% of the cost of the equipment, with no maximum limit.  

 

[ScottCarter35]

where do you input the geothermal credit in turbotax?

[DoninGA]

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@ScottCarter35 wrote:

where do you input the geothermal credit in turbotax?

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To enter Home Energy Credits -

Click on Federal Taxes (Personal using Home and Business)
Click on Deductions and Credit
Click on I'll choose what I work on (if shown)
Under Your Home
On Home Energy Credits, click the start or update button