How energy efficient is your home?
Now is the time to increase your home's energy efficiency, lower your taxes and utility bills and reduce your impact on the environment. The American Recovery and Reinvestment Act entitles you to an energy tax credit of up to $1,500 on energy-efficient building materials like insulation and roofing.
You can take the energy tax credit in 2009 and/or 2010 and you'll save money for years to come! According to the ENERGY STAR® program, installing adequate insulation or adding a solar reflective roof can save you money on utility bills. And you'll be reducing your carbon footprint by using less oil, gas and electricity.
Federal Tax Credits for Energy Efficiency includes:
Tax credits are available at 30% of the cost, up to $1,500, in 2009 & 2010 (for existing homes only) for:
Windows and Doors, Insulation, Roofs (Metal and Asphalt), HVAC, Water Heaters (non-solar), Biomass Stoves
Geothermal Heat Pumps, Solar Panels, Solar Water Heaters, mall Wind Energy Systems, Fuel Cells
Unlike a manufacturer's rebate, you do not get money back when you purchase qualified products. Instead, you claim a credit on your federal income tax return. This credit reduces the tax you owe, dollar-for-dollar, increasing your refund or decreasing the amount you have to pay. In order to claim the tax credit, you will need:
- Manufacturer’s Certification Documents
- Insulation Certification
- if you purchase materials directly; itemized bills from your contractor, showing the amount spent on qualifying materials.
Save this information; you will need it when you or your tax professional prepares your tax return.
The American Recovery and Reinvestment Act tax credit covers 2009 and 2010 and is applied to a maximum of $5,000 in total qualified purchases over both years. You may take the full tax credit in either year, or spread the total over two years, but the maximum two-year tax credit is 30% of $5,000, or $1,500.
Visit the websites below for tools to help you determine the energy efficiency of your home and find more ways you can save money.
Alliance to Save Energy
1850 M Street, NW Suite 600
Washington, DC 20036
202-857-0666
Fax: 202-331-9588
info@ase.org
Check out the Tax Credit Information and FAQs.
By Phone (9:00 am - 5:00 pm Eastern time)
ENERGY STAR Hotline (888) STAR-YES / (888-782-7937)
US EPA
ENERGY STAR Hotline (6202J)
1200 Pennsylvania Ave NW
Washington, DC 20460
The US Department of Energy can help you calculate R-values in your area.
View a table or map of state, local, utility, and federal incentives for renewable energy and energy efficiency on the Database of State Incentives for Renewable Energy (DSIRE).
