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Installed a new Trane A/C unit and gas frunace last year. i took the total cost and divided it in half and entered it on line 22a and 22b of form 5695 is this correct?

 
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MiriamF
Intuit Alumni

Installed a new Trane A/C unit and gas frunace last year. i took the total cost and divided it in half and entered it on line 22a and 22b of form 5695 is this correct?

The instructions for Form 5695, Residential Energy Credit, say:

  • Line 22a: Don't enter more than $300 (this would be for the high efficiency A/C unit).
  • Line 22b: Don't enter more than $150 (this would be for the furnace).

While these numbers are tiny relative to what you spent, that's what IRS regulations allow.

If you enter the information in TurboTax,  you can enter the full amount you spent. TurboTax will be able to enter the correct credit, based upon your answers.

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