Ring in the New Year with Energy Efficiency Tax CreditsYes, there are two energy tax credits available for Tax Year 2015: the Residential Energy Efficient Property Credit and the Nonbusiness Energy Property Credit. , we will guide you through claiming one of the credits on the proper tax form(s). If you made energy saving improvements to your home during 2015 by installing an Earth-friendly energy source, you may be able to take advantage of the Residential Energy Efficient Property Credit (that's a long name for a good credit!) The credit could be worth up to 30% of the total cost of installing certain renewable energy sources in your home. It is not restricted to your primary residence (except for fuel cells), and it may be claimed for newly constructed homes. However, you must own the home (rentals do not count). All installation costs may be included. Better yet, there is no cap or upper limit on the Residential Energy Efficient Property Credit (except for on wind turbines and fuel cells--but the caps on those are generous).

For most types of property, there is no dollar limit on the credit. However, if your credit is more that your taxes owed, you can carry over your unused portion of the credit to your tax return for next year. The Residential Energy Efficient Property Credit is not scheduled to expire until December 31, 2016. The energy-saving improvements must have been made in a home located in the United States. However, it does not have to be your main home (unless you're installing a qualified fuel cell property). Here are the different energy-efficient products that qualify for the credit: You can use Form 5695, Residential Energy Credits, . Though the Nonbusiness Energy Property Credit expired on December 31, 2014, Congress extended this credit until December 31, 2016. This means it's available to be claimed on 2015 and 2016 tax returns. If you made certain energy-saving or energy-efficient home improvements in 2015 or earlier, you could get a tax credit for up to 10% of the purchase price of qualified products, up to a maximum amount of $500 for all your home improvements (a maximum of $200 for windows) made during 2015.

Some installation and labor costs also qualify for the credit. This energy efficient home credit is only available to those taxpayers who did not claim more than $500 worth of home energy tax credits in an earlier year. mobile air conditioning units rentalIf you received home energy credits from Tax Years 2005-2011, you must subtract the amounts you received from 2015's $500 "lifetime" credit cap (the lifetime cap is $200 for windows).ac unit fan always on In order to claim this energy credit on your 2015 or earlier Tax Return, you must have purchased the qualified improvements and placed them into service during the appropriate Tax Year. outside ac unit doesn't come onTo qualify for the credit, the energy-saving improvements must have been made on an existing home (not a new construction) which was your primary residence, and which you owned.

The home must also be located in the United States. You should have written certification from the manufacturer that produces the qualifying product. This certification is usually included with the product's packaging or posted on the manufacturer's website. Though you can report the information on your tax return, do not include the original documentation in your return; keep it with your tax records. Here are the various energy-efficient products which qualify for the credit, and the maximum amount that can be claimed for each: Remember that only $500 of all combined qualified costs may be credited. In addition to home energy credits, there are many other tax breaks and tax deductions available to homeowners. Learn about other federal tax credits. See what tax deductions you may qualify to claim on your tax return. Residential Energy Tax Credits (2014) Many homeowners have been waiting to see what tax incentives the government is offering for energy efficient home improvements made to homes in 2013.

By taking advantage of the 2014 residential energy tax credit, homeowners who have invested in energy-saving measures to their homes may be able to reduce their tax burden, if they qualify. Nonbusiness Energy Property Credit The Nonbusiness Energy Property Credit can be applied towards any residential energy property costs that were paid or incurred in 2013. It can also be put towards 10% of the cost of qualified energy efficiency improvements that are new and can be expected to remain in use for at least five years, and meet energy efficiency requirements. Eligible residential energy property includes: Certain electric heat pumps water heaters; natural gas, propane or oil water heaters; and stoves using biomass fuel. Qualified natural gas, propane or oil furnaces; and qualified natural gas, propane or oil hot water boilers. Certain advanced main air circulating fans used in natural gas, propane or oil furnaces. Eligible energy efficiency improvements include:

Insulation: Must be specifically designed to reduce heat loss or gain of a home. Exterior windows, including skylights. Metal or asphalt roofs with pigmented coatings or cooling granules specifically designed to reduce the home’s heat gain. This credit has a lifetime limit of $500 for all years after 2005, broken down into the following bracket: $50 for any advanced main air circulating fan. $150 for any qualified natural gas, propane for oil furnace, or hot water boiler. $300 for any item of energy efficient building property, i.e., water heaters and heating and air conditioning systems. To qualify for the Nonbusiness Energy Property Credit, your main home must be located in the U.S. Check with the manufacturer for written certification to make sure their product(s) are eligible for this home energy tax credit. You can usually find it posted on their website(s) or with the packaging. Keep the certification with your tax records – there is no need to attach it to your return.

Although this credit expired at the end of 2013, you can still claim the credit on your 2013 tax return if you didn’t reach the lifetime limit in prior years. Should the total of nonbusiness energy property credits you have taken in previous years (after 2005) exceed more than $500, you cannot apply for this credit for 2013. You can apply this home energy tax credit towards 30% of the cost of alternative energy equipment installed on or in your home. Qualified equipment can include the following: Solar water heating property. Small wind energy property. Geothermal heat pump property. Qualified fuel cell property credit is limited to $500 for each one-half kilowatt of capacity of the property. There is no dollar limit on the Residential Energy Efficient Property Credit for most types of property. If your credit exceeds the tax you owe, you can carry forward the unused portion of this credit to next year’s tax return. To qualify for this home energy tax credit, the home must be in the U.S. but it does not have to be your main home.