Going Green can Save Green

Everyone is Talking about Going Green these days. According to the January issue of Carolina Country, there are many items that can qualify for incentives.

Investing in renewable energy and using energy efficient appliances and products can stimulate the economy and can also earn tax credit dollars for yourself. In 2009, the Recovery and Reinvestment Act , which was signed in February will add tax credits on the 2010 tax returns as long as the projects were completed in 2009.

A tax credit actually lowers your taxes dollar for dollar instead of a deduction which lowers your taxable income. All tax information should be verified before the work is done or the appliances are purchased.

Some of the projects that qualify are:

Exterior Windows and Doors, Skylights
Storm Windows and Doors
Metal Roofs, Asphalt Roofs
Insulation
Central A/C
Air Source Heat Pumps
Geothermal Heat Pumps
Water Heater ( electric heat pump)
Water Heater ( solar)
Biomass Stoves
Photovoltaic Systems
Small Wind Energy Systems
Fuel Cells


A few guidelines:
The tax credit includes cost of equipment and original installation costs.
Must be for taxpayer's principle residence
Maximum for 2009 and 2010 for all improvements combined is $ 1500 ( check exceptions)
For tax purposes, the Manufacturers Certification Statement and receipt are generally required.
New home construction cannot claim credits for windows, doors, insulation, roofs, HVAC non- solar water heaters.

All information should be verified by an accountant, or other detailed information on federal energy -related tax incentives
State tax information can be found at http://www.dsireusa.org.