Don’t miss your opportunity to take advantage of energy tax credits, while reducing your home’s energy costs.
There are two homeowner’s energy tax credits that have been extended for homeowners wanting to reduce their energy costs. Learn more about the energy credits and how you could benefit from them below:
Residential Energy Efficient Property Credit – This credit provides a credit for homeowners installing geothermal energy systems, wind energy systems and fuel cell systems.
VSH Certified Public accountants states, “The credit is generally 30% of the qualified property and installation costs, subject to some limitations for fuel cell and geothermal systems.”
Originally scheduled to expire in 2016, the credit has been extended to 2021. To learn more visit the IRS website.
Non-business Energy Credit – Also known as the Energy Saving Credit, this credit applies to improvements made to your home to make it more energy efficient. This credit was extended to include improvements made in the 2015 and 2016 tax year.
The credit generally applies to insulation, storm windows and doors, and certain types of energy-efficient roofing materials, air-conditioning and hot water systems.
The tax credit is 10% of the cost of the energy-saving items. Items that generally qualify are energy efficient hot water systems, roofing materials, air conditioning, storm windows and insulation. The credit has a lifetime maximum of $500.