Energy Tax Credits

Federal Tax Credits for Consumer Energy Efficiency

On December 17, 2010, President Obama signed the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010. This law extends the tax credits for energy efficiency into 2011, BUT at lower levels. The levels revert back to those in effect in 2006 and 2007, which were 10% of the cost of the improvement, up to $500, with a $200 max for windows, and several other set maximums. The opportunities for tax credits include:

• $500 lifetime limit. If you exceeded $500 in these tax credits from 2006 – 2010, you are not eligible for anything more.
• 10% of the cost for insulation, roofs and doors, up to $500.
• 10% of the cost of windows and doors, up to $500 with windows capped at $200. Products must be ENERGY STAR qualified.
• $150 for natural gas, propane or oil furnaces and boilers must meet 95AFUE.
• $50 for an advanced main air circulating fan.
• $300 for air conditioners, air source heat pumps, water heaters and biomass stoves.

Please note: Not all ENERGY STAR qualified products qualify for a tax credit. ENERGY STAR distinguishes energy efficient products which, although they may cost more to purchase than standard models, will pay you back in lower energy bills within a reasonable amount of time, without a tax credit.

For more detailed information visit:
http://www.energystar.gov/index.cfm?c=tax_credits.tx_index

Home Energy Audits

A home energy audit is often the first step in making your home more efficient. An audit can help you assess how much energy your home uses and evaluate what measures you can take to improve efficiency. But remember, audits alone don’t save energy. You need to implement the recommended improvements. ENERGY STAR provides extensive information about home improvement projects to enhance energy efficiency, lower utility bills and increase comfort.

For more detailed information visit:
http://www.energystar.gov/index.cfm?c=home_improvement.hm_improvement_audits