I'm back! Energy Tax Credits are, too!

After a long, busy tax season, I'm back to posting! Sorry for the hiatus. I simply don't have time for both! But now that I'm back, I've had requests to post some of my tax knowledge along with the frugal news, so I'll try to mix this in.

After taking a hiatus in 2008, the energy efficient tax credit for improvments you make to your house will be back for 2009 and 2010. The American Recovery and Reinvestment Act of 2009 passed on February 17, 2009. Here are the details:

Get a 30% credit on the cost of your energy efficient improvements to your exisiting main personal residence, up to $1,500 total.

You may have noticed this is a much more generous tax credit than the previous 10% credit!

So what energy efficient improvements count?

• Exterior windows & skylights
• Storm windows
• Exterior doors
• Storm doors
• Metal & asphalt roofs
• Insulation
• Central A/C
• Air source heat pumps
• Natural gas or propane furnace
• Oil furnance
• Gas, propane, or oil hot water boiler
• Advanced Main Air Circulating Fan
• Gas, Oil, Propane Water Heater
• Electric Heat Pump Water Heater
• Biomass Stove
  

Special notes:

Not all “Energy Star” labeled products qualify. Make sure you check before making your purchase.

Equipment must last 5 years. A two year warranty should be sufficient to prove this.

Save your receipts and warranties.