Friday, March 20, 2009

New Energy Efficient Homes Tax Credits

Tax credits for new green homes are better than ever! A 30% tax credit (including labor and installation), with no upper limit, is available for consumers building new homes (through 2016) for:

Photovoltaics
Solar Water Heaters
Geothermal Heat Pumps
Small Wind Energy Systems
Fuel Cells (for primary residences only)

The credit for photovoltaic, solar water heaters, geothermal heat pumps, and small wind energy systems does not have to be for your principal residence; so, rental units, second homes, etc... are all eligible.
For more information, see

2008 IRS Form 5695 to help you further with this provision.

There is a $2,000 tax credit for building a new energy efficient home, but it is ONLY available to "eligible contractors"; therefore, owner/builders may not receive the builder tax credit unless employed as eligible contractors.

See Energy Star and the IRS for more information.

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