Tankless Water Heaters
When you install a tankless water heater, the Federal Government will allow you to claim a tax credit up to $300 on your 2011 Federal Tax return. Since this is a credit and not a deduction, it means you will pay up to $300 less in Federal Income Tax. Example: If after figuring your 2011 Federal Income tax, you owe the government $300, then after applying the $300 tankless water heater tax credit, you would owe exactly ZERO in Federal Tax. It’s like the Federal Government is going to give you up to $300 to install a tankless water heater. They won’t give you anything when you install a conventional tank-type heater.
