Geothermal Heat Pumps
The 30% US federal tax credit has been reinstated for 2018 and is retroactive for any geothermal systems purchased in 2017. And, there's a 10% federal tax credit for commercial geothermal heat pump installations. The American Recovery and Reinvestment Act adopted in October 2008 allows for a 30% tax credit for costs associated with ENERGY STAR qualified geothermal heat pumps installed in residences, as noted in section 25D of the Internal Revenue Code. The 30% credit applies to geothermal equipment placed in service through 2019. Tax credits will still be available at a reduced rate until 2022.
There is a 30% federal tax credit available for residential geothermal systems. Any geothermal equipment meeting ENERGY STAR requirements at the time of installation is eligible for the federal tax credit. The credit is equal to 30% of the total system cost, including equipment, labor, piping, etc.
There are state, provincial, and local incentives available in parts of the U.S. and Canada. Your local utility may offer incentives, as well. Additional incentives can be found by searching the Database of State Incentives for Renewables & Efficiency®.