Federal Tax Credit for Solar and Recreational property/

Re: Federal Tax Credit for Solar and Recreational property/

Page Last Updated: 11-16-2010
2011 Federal Tax Credits for Consumer Energy Efficiency

NOTE: Tax credits that were 30% up to $1,500 EXPIRED on December 31, 2010. New tax credits were passed, but at lower levels. Summary of changes.
The first half of this data does not apply to Photo Voltaics ( scroll down )
Please note, not all ENERGY STAR qualified products qualify for a tax credit. ENERGY STAR distinguishes energy efficient products which, although they may cost more to purchase than standard models, will pay you back in lower energy bills within a reasonable amount of time, without a tax credit.

* 2011 Tax Credits
* Filing 2010 Taxes

What You Need to Know

* What is included in the 2011 Federal Tax Credit?
* How do I apply for my Federal Tax Credit?

What is included in the Tax Credit?

Tax Credit:
10% of cost up to $500 or a specific amount from $50 - $300
Expires:
December 31, 2011
Details:
Must be an existing home & your principal residence. New construction and rentals do not qualify.

*
Biomass Stoves
o

Biomass StoveBiomass stoves burn biomass fuel to heat a home or heat water. Biomass fuel includes agricultural crops and trees, wood and wood waste and residues (including wood pellets), plants (including aquatic plants), grasses, residues, and fibers.
border
Tax Credit Amount: $300
Requirements

Thermal efficiency rating of at least 75%
More Information
+ How to apply
+ Wood Burning Efficiency & Safety
*
Heating, Ventilating, Air Conditioning (HVAC)
o
Advanced Main Air Circulating Fan

An Advanced Main Air Circulating Fan is an efficient fan, or blower motor which blows the air that your furnace heats up through the duct system.
border
Tax Credit Amount: $50
Requirements

Must use no more than 2% of the furnace's total energy.
More Information
+ How to apply
o
Air Source Heat Pumps

Air Source Heat PumpsHeat pumps offer an energy-efficient alternative to furnaces and air conditioners in moderate climates. Like your refrigerator, heat pumps use electricity to move heat from a cool space into a warm, making the cool space cooler and the warm space warmer. During the heating season, heat pumps move heat from the cool outdoors into your warm house; during the cooling season, heat pumps move heat from your cool house into the warm outdoors. Because they move heat rather than generate heat, heat pumps can provide up to 4 times the amount of energy they consume.
border
Tax Credit Amount: $300
Requirements

Split Systems:
HSPF ≥ 8.5
EER ≥ 12.5
SEER ≥ 15

Package systems:
HSPF ≥ 8
EER ≥ 12
SEER ≥ 14

See Definitions.
More Information
+ How to apply
o
Central Air Conditioning (CAC)

Central Air Conditioning (CAC)The best way to find tax credit eligible CACs is to ask your HVAC Contractor (Heating Ventilation and Air Conditioning). To verify tax credit eligibility, ask your HVAC contractor to provide the Manufacturer Certification Statement for the equipment you plan to purchase. Or, search the Manufacturer's website.
border
Tax Credit Amount: $300
Requirements

Split Systems:
SEER ≥ 16
EER ≥ 13

Package systems:
SEER ≥ 14
EER ≥ 12

See definitions.
More Information
+ How to apply
o
Gas, Propane, or Oil Hot Water Boiler

Gas, Propane, or Oil Hot Water BoilerThese are heating units that use water circulated throughout the home in a system of baseboard heating units, radiators, and/or in-floor radiant tubing.
border
Tax Credit Amount: $150
Requirements

AFUE ≥ 95

Tax Credit includes installation costs.

See definitions.
More Information
+ How to apply
o
Natural Gas, Propane or Oil Furnace

Natural Gas or Propane FurnaceA furnace uses the combustion of fuel and air to create heat.
border
Tax Credit Amount: $150
Requirements

AFUE ≥ 95
More Information
+ How to apply
*
Insulation
o

InsulationAdding adequate insulation is one of the most cost-effective home improvements that you can do.
border
Tax Credit Amount: 10% of the cost, up to $500
Requirements

Typical bulk insulation products can qualify, such as batts, rolls, blow-in fibers, rigid boards, expanding spray, and pour-in-place.

Products that air seal (reduce air leaks) can also qualify, as long as they come with a Manufacturers Certification Statement, including:
+ Weather stripping
+ Spray foam in a can, designed to air seal
+ Caulk designed to air seal
+ House wrap

Tax Credit does NOT include installation costs. But, you can install the insulation/home sealing yourself and get the credit.

See definitions.
More Information
+ How to apply
+ Insulation efficiency through Home Performance with ENERGY STAR
+ Heat & Cool Efficiently at Home
*
Roofs (Metal & Asphalt)
o

RoofsQualified roof products reflect more of the sun's rays, which can lower roof surface temperature by up to 100F, decreasing the amount of heat transferred into your home.
border
Tax Credit Amount: 10% of the cost, up to $500
Requirements

"Metal roofs with appropriate pigmented coatings" and "asphalt roofs with appropriate cooling granules" that also meet ENERGY STAR requirements.

Tax Credit does NOT include installation costs.
More Information
+ How to apply
*
Water Heaters (non-solar)
o
Gas, Oil, Propane Water Heater

Gas, Oil, Propane Water HeaterWater heating can account for 14%–25% of the energy consumed in your home.
border
Tax Credit Amount: $300
Requirements

Energy Factor ≥ 0.82 OR a thermal efficiency of at least 90%.

See definitions.
More Information
+ How to apply
o
Electric Heat Pump Water Heater

Electric Heat Pump Water HeaterWater heating can account for 14%–25% of the energy consumed in your home.
border
Tax Credit Amount: $300
Requirements

Energy Factor ≥ 2.0
More Information
+ How to apply
*
Windows & Doors
o
Windows, Doors, Skylights

Windows, Doors, SkylightsEnergy efficient windows, doors and skylights can reduce energy bills.
border
Tax Credit Amount: 10% of the cost, up to $500, but windows are capped at $200.
Requirements

Must be ENERGY STAR qualified.

You do not have to replace all the windows/doors/skylights in your home to qualify. And it doesn't need to be a replacement either - installing a new window where there wasn't one previously (like in an addition) qualifies.

Tax Credit does NOT include installation costs.
More Information
+ How to apply

Tax Credit:
30% of cost with no upper limit
Expires:
December 31, 2016
Details:
Existing homes & new construction qualify. Both principal residences and second homes qualify. Rentals do not qualify.

*
Geothermal Heat Pumps
o

Geothermal Heat PumpsGeothermal heat pumps are similar to ordinary heat pumps, but use the ground instead of outside air to provide heating, air conditioning and, in most cases, hot water. Because they use the earth's natural heat, they are among the most efficient and comfortable heating and cooling technologies currently available.
border
Requirements

Closed Loop:
EER ≥ 14.1
COP ≥ 3.3

Open Loop:
EER ≥ 16.2
COP ≥ 3.6

Direct Expansion:
EER ≥ 15
COP ≥ 3.5

Tax Credit includes installation costs.

See definitions.
More Information
+ How to apply
+ Geothermal Heat Pump FAQ
+ All ENERGY STAR geo-thermal heat pumps qualify for the tax credit.
+ What about water-to-water geothermal heat pumps?
*
Small Wind Turbines (Residential)
o

Small Wind TurbineA wind turbine collects kinetic energy from the wind and converts it to electricity that is compatible with a home's electrical system.
border
Requirements

Must have a nameplate capacity of no more than 100 kilowatts.

Tax Credit includes installation costs.
More Information
+ How to apply
*
Solar Energy Systems

GGK