Windows & Doors
Properly installed high efficiency windows are beautiful, improve the comfort of your home, and increase the resale value of your home. If your windows are single pane or are leaky, you should consider replacing them.
Since you're not likely to replace your windows more than once every 30 years, you'll want to get the most efficient windows possible to increase the lifetime performance and overall value of the purchase. Installing energy-efficient window, door and skylight products can reduce your heating and cooling bills.
You will also notice improvements in performance in places other than your energy bills. Low-e coatings (an advanced window coating technology used in many new windows to decrease the harmful and uncomfortable rays of the sun) on a gas-filled (gasses such as argon or krypton), double-pane window can significantly increase the comfort of your home. Imagine being able to sit in front of the window in the dead of winter or the peak of summer and feeling perfectly comfortable.
In addition, these window technologies can significantly reduce fading in furniture and draperies, help to decrease maintenance costs of heating and cooling appliances by reducing strain on the units, decrease condensation on the inside of windows and increase light into the home.
ENERGY STAR® rated, low-e windows generally cost between 5 to 10 percent more than their inefficient counterparts, but since half of the cost of a new window purchase is in the installation, the actual increase in total cost is quite low. Since energy-efficient windows reduce your energy bills and increase your comfort, it is truly worth the small cost increase to improve the view from your most valuable asset, your home.
**Please click the link there is a helpful chart that summarizes tax credits for homeowners!
Federal Tax Credits for Energy Efficiency
Frequent Questions about Tax Credits
What forms do I need for the consumer energy efficiency tax credits?
You need to fill out IRS Form 5695
See all Tax Credits FAQs
The Energy Policy Act of 2005 includes:
Tax Credits for Consumers
Solar Energy Systems
Tax Credits for Home Builders
Tax Credits for Appliance Manufacturers
Tax Deductions for Commercial Buildings
For More Information
A tax credit can provide significant savings. It reduces the amount of income tax you have to pay. Unlike a deduction, which reduces the amount of income subject to tax, a tax credit directly reduces the tax itself. You must refer to the final Internal Revenue Service (IRS) rules to determine what qualifies for the tax credit.
Please note, not all ENERGY STAR qualified homes and products qualify for a tax credit. These tax credits are available for a number of products at the highest efficiency levels, which typically cost much more than standard products. If, for whatever reason, you decide not to purchase a product covered by the tax credit, you may still consider purchasing an ENERGY STAR product. 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.
Tax Credits for Consumers:
The Internal Revenue Service (IRS) has provided guidance for consumers: IRS Notice 2006-26 .
Tax credits are available for many types of home improvements including adding insulation, replacement windows, and certain high efficiency heating and cooling equipment. See chart. The maximum amount of homeowner credit for all improvements combined is $500 during the two year period of the tax credit. This tax credit applies to improvements made to your primary residence from January 1, 2006 through December 31, 2007.
If you are building a new home, you do not qualify for the tax credits for "eligible building envelope components" (windows, doors, insulation, roofs) or "qualified energy property" (HVAC & non-solar water heaters). However, the tax credit for photovoltaics, solar water heating, and fuel cells is available for homeowners building new homes. More.
Tax credits are available to buyers of hybrid gasoline-electric, diesel, battery-electric, alternative fuel, and fuel cell vehicles. The tax credit amount is based on a formula determined by vehicle weight, technology, and fuel economy compared to base year models. These credits are available for vehicles placed in service starting January 1, 2006. For hybrid and diesel vehicles made by each manufacturer, the credit will be phased out over 15 months starting after that manufacturer has sold 60,000 eligible vehicles. For vehicles made by manufacturers that have not reached the end of the phase-out, the credits will end for vehicles placed in service after December 31, 2010. See the IRS Website for updated information .
Solar Energy Systems
Tax credits are available for qualified solar water heating and photovoltaic systems. The credits are available for systems "placed in service" from January 1, 2006 through December 31, 2008. The tax credit is for 30 percent of the cost of the system, up to $2,000. This credit is not limited to the $500 home improvement cap.
There is a consumer tax credit of up to 30 percent of the cost (up to $500 per 0.5 kW of capacity maximum) for installing a "qualified" fuel cell and microturbine systems. The credits are available for systems "placed in service" from January 1, 2006 through December 31, 2008. This credit is not limited to the $500 home improvement cap.
Contractors participating in locally sponsored home performance... http://www.energystar.gov/index.cfm?c=home_improvement....ement_hpwes_partners