Thursday, March 3, 2016

How to Get Tax Credit for Improved Home Sustainability?

We now live in a day and age where it is encouraged to go green and recycle whether is electronic cars, second hand clothing or even recycling materials at your home.  We have been seeing this idea of sustainability creep into our homes more and more throughout the past few years and now the government is offering tax credits for making the upgrades.

  • ·      Photovoltaic Energy System: These systems are made up of the familiar solar panels that we have been seeing more and more the past few years.  The battery cells harness the sun’s energy and transform that energy into electricity for the house.  Installing a system can reduce your home’s annual carbon dioxide output by an average of 35,180 pounds and can earn you a 30% tax credit of the cost with no upper limit.

  • ·      Windows: Swapping out old windows for newer Energy Star approved versions can save your household an average of 12% on your energy and tax credit of 10% with a limit of $200.
  • ·      Insulation: Insulation improves the heating and cooling efficiency of your home, and can be self-installed in about a day.  This will give you a tax credit of up to $500.

  • ·      Residential Wind Turbines: If you live on an acre or more, you could have your own wind turbine that produces emissions-free electricity for your house.  The average cost of a residential turbine is around $30,00 with 30% of the system’s cost being credited back for taxes.

  • ·      Roofs: If your roof is needing major repairs or a replacement you may want to consider installing an Energy Star approved metal or asphalt roof.  These approved shingles have pigmented coatings or cooling granules that reduce heat retainment and can give you a 10% tax credit of the replacement cost- not including labor costs.


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