Last week I wrote about how Eddy and I upgraded our 1995 10-SEER heating and air system to a 16-SEER one. What prompted the upgrade was that the old system was emitting carbon monoxide. The federal tax credits for energy efficiency, however, clinched the deal.
If you purchased an energy-efficient product or renewable energy system for your home last year, you may be eligible for a federal tax credit. The general rule is that 30% of the costs of the upgrades are eligible for a credit, up to $1,500 total. Not all upgrades qualify for a tax credit, and the credit applies only for existing homes, not new construction, that are your “principal residence.”
The good news is that the credits have been extended until December 31, 2010. If you’ve been in the market for an energy efficiency product or renewable energy system, this year is the time to do it.
For more information, visit the U.S. Department of Energy website at http://www.energystar.gov/index.cfm?c=tax_credits.tx_index.