Energy Efficiency & Renewable Energy Tax Credits
Did you know you might be able to take advantage of federal income tax incentives for energy-efficient and renewable energy home improvements? Congress first passed the incentives in 2005 as part of the Energy Policy Act of 2005 and has amended them several times since then.
Current incentives expire December 31, 2016. The incentives fall into two categories. Be sure to review both to maximize your incentive.
- Renewable energy sources like geothermal, solar, wind and others are covered under Residential Energy Efficient Property Credit (Part I). You may be able to take a credit of 30% of your qualified costs.
- Energy efficiency improvements like insulation, windows, HVAC and more are covered under Nonbusiness Energy Property Credit (Part II). Credits for 10% of cost, up to $500 or a specific amount from $50-$300 may be available.
ENERGY STAR® – See which products qualify, and for what incentive amount
IRS Tax Forms:
You should contact a tax professional with questions specific to your situation.