Energy Tax Credits Renewed For 2011

Let's say you plan to replace drafty windows and a broken storm door plus have been thinking about installing a skylight or two in your bathroom. This year is the time to do it... and the federal government will help you out.

If you're a homeowner and the home is your principal residence, certain improvements you make will qualify for an energy tax credit of up to 30 percent of the cost of the home improvement, some with a maximum credit of $1500, some with no maximum at all. So let's say the cost of the new windows is $4000 (not including installation costs). Your energy tax credit would be $1200. That's a direct credit to the amount of taxes you owe for the year!

The restrictions.

New construction and rental properties do not qualify. The credit applies only to the cost of the materials/equipment � not any installation. Some improvements have to be purchased as early as June, so make sure you do your homework as soon as possible.

Knopp Construction Inc. would be happy to consult with you about which products qualify for the credit. Just drop us an e-mail: p.knopp@comcast.net

The government's web site has the all the details. Only products with certain specifications and energy saving values will qualify, i.e., "R" values, "U" factors, etc. Be sure to investigate before committing to purchase.

The site also includes instructions for applying for the Federal Tax Credit, and Frequently Asked Questions.