The New York State Assembly and Senate have passed the Geothermal Tax Credit bill A2177A (A2177A-2015). This bill allows for a 25% state income tax credit up to a maximum of $5000 for a new geothermal HVAC system. It now is before Governor Andrew Cuomo for signature and adoption or veto.
Next up is NY State Assembly Bill A5508 for NY State Sales Tax exemption on all geothermal HVAC equipment sales ( A5508). These exemptions coupled with the already existing 30% Federal Resdiential Renewable Energy Tax Credit on geothermal systems will combine to make new geothermal installations much more competitive with fossil fuel systems for new installation and retrofits. These bills are making geothermal HVAC more affordable for New York State consumers and providing all of the same incentives available to the solar industry, which has proliferated since the inception of these incentives.