- Improving your ecological footprint has never had so many tax benefits. With the social conscience green movement, the government is now offering tax credits to tax payers willing to make improvements to their residences' energy efficiency. Energy Star, the American government's energy certification agency, has approved hundreds of products that qualify for various tax credits throughout your home.
- A biomass stove can give you a tax credit.Traditional russian stove. Process of cooking. image by diter from Fotolia.com
Known as biomass or pellet stoves, these heating stoves burn items like wood pellets, plants, fibers and the like to heat your home. It is considered a green option because biomass is clean burning, cheap and uses by-products from other manufacturing processes. To qualify, the biomass stove must have an efficiency rating of 75 percent. The tax credit is 30 percent of the purchase and installation of the stove up to $1,500 for the 2010 tax year. - Replacing your air conditioner helps your home become energy efficient.condensseur image by photlook from Fotolia.com
Replacing your old air conditioning unit on your primary place of residence that is not a new construction or rental can earn you a tax credit as well. The air conditioning unit must have a Energy Efficiency Ratio (EER) equal to or greater than 12 for package systems and equal to or greater than 13 for split systems. It must also have a Seasonal Energy Efficiency Ratio (SEER) equal to or greater than 14 for package systems and equal to or greater than 16 for split systems. Finally, the air conditioning unit must have a Manufacturer Certification Statement as proof of its energy efficiency. This upgrade will grant you a 30 percent tax credit of up to $1,500 of the purchase and installation of the new air conditioning unit for the tax year of 2010. - Solar panels are the greenest energy option.Solar Panel image by kuhar from Fotolia.com
Using solar power via solar panels or photovoltaic systems to power your home is a highly effective way to green your energy use. To qualify, the solar panels must power your primary or secondary residence, whether a new construction or established home but not a rental. The system must also be up to fire and electrical code for your area. The tax credit is 30 percent of the total cost including installation with no limit to the dollar amount. This tax credit is available up through the 2016 tax year.
previous post