Federal Tax Credits for Consumer Energy Efficiency
If you purchase an energy-efficient product or renewable energy system for your home, you may be eligible for a federal tax credit. Below you will find an overview of the federal tax credits for energy efficiency.
Congress Provides New Replacement Window Incentives
The newly enacted American Recovery and Reinvestment Act of 2010, or the Stimulus Bill, offers you incentives for improving your home's energy efficiency. For 2010, the tax credit for qualified energy efficiency improvements will increase to 30%. For example, if you purchase $5,000 worth of upgraded-glass windows, you may get the maximum 30% tax credit of $1,500 - making the real cost of your windows only $3,500.
Qualifying and Claiming Tax Credit is Easy
To get in on the energy cost savings, as well as the attractive tax incentives:
- Purchase qualifying windows or doors, then save your sales receipt and the NFRC/ENERGY STAR label with your tax documents.
- Have your windows or doors installed between January 1, 2010 and December 31, 2010.
- Claim the tax credit on your federal filing for the 2010 tax year.
A qualifying window or door is one that carries both a U-Factor equal to or less than 0.30 and a Solar Heat Gain Coefficient (SHGC) equal to or less than 0.30. You can find more information on energy ratings and other qualifying products at the ENERGY STAR® website.
