Last minute home improvement projects with tax benefits
December 27, 2009
Homeowners looking for year end home improvement projects, should look at the benefits of many of the energy savings rebates the government offers for projects that are environmentally friendly and help reduce overall energy consumption. The process of improving your home is likely an ongoing adventure for the majority of homeowners that seem to have a never ending list of projects to complete.
The government has been issuing tax rebates for many years to help spur consumers to choose energy efficient products and projects. This past year the government extended energy efficient rebates into a number of new areas including, windows and insulation. Products that are eligible for energy efficient rebates are clearly identified by the manufacturer and meet heightened guidelines to reduce the consumption of energy in your property.
Through the government’s energy star program, consumers are eligible to receive a tax credit equal to thirty percent of the product purchase price, up to $1500. These tax credit are eligible on:
New Windows
Insulation
Furnaces
Air Conditioning Units
Water Heaters
Roofs
The tax credit is in place through the end of 2010 and is considered a one time only benefit, per household. The credit is eligible for use on the products and labor, allowing you maximum benefit for your taxes. It is important that the manufacturer provides you the appropriate paperwork to submit with your taxes to be eligible to receive your energy tax rebate. If you are looking for a last minute home improvement project, this could be a great way to lower your tax obligation and cross another item off of your improvement to do list this year. If you have specific tax questions, it is always a great idea to consult a tax attorney prior to finalizing your project contract and purchases to ensure you receive maximum benefit for your specific financial situation.
