Did you know that you can claim tax credits for energy-efficient improvements to your home? If you made improvements to your home last year that made it more energy efficient, you could qualify for the Residential Energy Efficient Property Credit.
The Residential Energy Efficient Property Credit is a credit of 30% of the amount a taxpayer spends during the tax year for a variety of different energy-efficient property improvements, including:
- Solar water heaters
- Solar electric systems
- Geothermal heat pumps
- Small wind turbines
- Fuel cells
In addition to getting credit for the cost of these types of equipment, you can also receive credit for the cost of their installation in your home as well. For most types of property, there is no dollar limit on the credit, and if your credit is more than what you owe in taxes, you can roll the rest of the credit over to the following tax year.
Keep in mind that not all equipment will qualify for this credit, so you need to be certain you have written certification from the manufacturer that produced the products you placed in service. To learn more about how you can benefit from a home energy credit, turn to the pros at Taxation Solutions, Inc. We’re you’re source for effective tax help in Memphis!