Planning on adding more insulation to your home or replacing drafty old doors with more energy-efficient ones? Then you’ll need to move quickly if you plan on taking advantage of federal tax incentives available through the ENERGY STAR program until Dec. 31.
Consumers who make certain energy efficiency upgrades could qualify for federal tax credits equaling 30 percent of the cost, up to a maximum of $1,500. One caveat: the product has to be installed and ready for use by Dec. 31 to qualify and improvements must be made on your principal residence.
You can find a full list of what qualifies for the ENERGY STAR tax credits at www.energystar.gov but here are some examples:
- Add adequate insulation and use caulk, weather stripping and other products to seal leaks
- Install energy-efficient windows, doors and skylights
- Install metal or asphalt roofs
- Replace old furnaces, air conditioners and water heaters with more energy-efficient models
You get a little more time if you plan on tackling higher-end energy improvements such as installing geothermal heat pumps, solar energy systems and residential wind turbines. Federal tax credits for those improvements don’t expire until 2016.