More than just real estate

Tax Credits for Replacing Heating and Cooling Systems

The 2009-2010 $1,500 energy tax credits ended as you sang Auld Lange Syne, but you’ll get up to $500 for a more efficient heating and cooling system in 2011.

In 2010, you were able to take up to 30% of the cost, to a $1,500 max, as tax credits for an eligible heating and cooling system. If you took advantage of the credit, congratulations:

  • File IRS Form 5695 in 2011. This can be tricky, so pay attention to the details.
  • Put your feet up, because you’ve taken the feds for all they’ve got in terms of limited-amount energy credits.

If you didn’t take advantage already, you’re somewhat out of luck: The generous $1,500 program ended on Dec. 31, 2010. But at the last minute, the government added a suite of less-generous but still useful energy tax credits for heating and cooling systems and related energy-efficiency improvements. (more…)

Powered by WordPress