One thing that most people aren’t mentioning in the economic stimulus package that passed in October, is the series of energy tax credits. There were plenty of tax credits in place in 2007, but they expired at the end of that year. This stimulus package made these credits available again starting in 2009. While I am not an accountant, here are some of the highlights as you plan your budgets for the coming year:
There is a $500 tax credit for home improvements that include things like insulation, replacement windows, and high efficiency heating and cooling. This credit is based on particular projects, so check with the tax man for clarification. Been putting off that project? 2009 looks like the year!
In addition to these credits, there are new credits for solar and wind energy. For solar panels and solar water heaters, there is a tax credit of 30% capped out at $2000. For wind energy systems, there are similar incentives. These credits are also 30% of the cost of the installed systems and are tied to killowatts produced. According to Swift Wind Turbines, homeowners who install their turbines will receive a credit of $1000 per turbine.
Thinking of buying a hybrid, but upset that you missed the incentives on the Prius? 2009 is a good year to think about it again, as there are new incentives in place. This credit is for PLUG-IN hybrids and will be limited to the first 250,000.
How much of an incentive do you need to take advantage of energy savings?
Tags: Go Green, Green Policies, politics
