If having the most energy-efficient type of heating and cooling system for your home is important to you, consider geothermal cooling and heating. If the cost of geothermal discourages you, remember, the federal government offers generous tax credits for homeowners who install one of these systems that meet program guidelines. The tax credit includes the parts, labor and installation and allows a 30 percent deduction, with no cap on the expenses.
The credit for a geothermal heating and cooling system is good through the end of 2016 and covers new and existing primary and secondary homes. The systems have to meet the energy efficiency requirements that the EPA has established. You can read more about the EPA requirements here and find out your State and County rebate information here.