As we've mentioned many times on the Energy Savers blog, you can receive up to $1,500 in tax credits for home energy efficiency improvements like adding insulation, installing energy efficient windows, or replacing water heaters.
If you're a regular reader, you know that we write about tax credits a lot. Our reasons are simple: we don't want you to forget that these credits are available, and we hope you'll help spread the word by sharing this info with your friends and family. (There are even some handy links at the bottom for you to send this article to your favorite social media sites—help us out and click them!)
On Friday, Secretary of Energy Steven Chu also helped spread the word about the energy efficiency tax credits while visiting Seaway Manufacturing Corporation, an energy efficient window manufacturing company in Erie, Pennsylvania. See more details on his visit.
The Recovery Act expanded residential efficiency tax credits for some energy-efficiency improvements, including replacing doors and windows, upgrading heating, ventilation and air conditioning equipment, adding insulation, or replacing a water heater.
Through 2010, homeowners can receive a tax credit for 30% of the cost of the improvements, up to $1,500. These tax credits are in addition to the energy and cost savings that come with energy efficiency. Investments in efficient products could save you up to 40% on energy costs over the long-term.
Remember, if you made improvements in 2009, you can collect on these tax benefits this year when you file your 2009 tax return. If you didn't make improvements in 2009, you're not too late: tax credits for energy efficiency improvements are available through the end of 2010.
Consumers who install renewable energy systems in their homes, including solar panels, geothermal heat pumps or wind turbines, are also eligible for tax credits for 30% of the cost of the systems. These credits are available through 2016.
See the summary of energy efficient tax credits for more details.
If you're curious about other tax credits provided by the Recovery Act, in addition to the energy efficiency credits, check out the new interactive Tax Savings Tool on the White House Web site. Answer a few questions to get a checklist showing the tax benefits you may be eligible for this year.
Also check out some of our previous blog entries on the energy efficiency tax credits: