The energy Policy Act of 2005 has been in the news lately, and you may be wondering what it’s all about. Despite its name, this act is still in place, after an extension by President Obama in January 2013. Home owners should pay attention, as this series of federal tax credits can help you save a lot of money.
What the Act Does
This act has many different provisions in it, some of which focus on greener cars or greener business practices for corporations for reducing their carbon foot print from things like window film to keep energy costs down. However, the main thing many homeowners focus on is the tax breaks given to private citizens who improve the energy efficiency of their personal residences. Many people are now able to get a 10% credit on their taxes in return for creating greener homes. If you own your home and it is your primary residence, make sure to keep all receipts for energy efficient home improvement products because they may come in handy this April 15th.
Green Home Fixes
The bill covers a wide variety of energy efficient changes, from the large to the small. Home owners who install expensive systems to reduce their energy needs may be able to get the full $500 maximum savings from the IRS. Improvements like solar energy panels, exterior windows or the addition of residential window film all fall under the federal guidelines for the credit. Not everyone has the time or money to take on the more expensive projects. However, even if something as complicated as installing a new heating system is beyond your means, it’s still possible to benefit from this act.
Easy Ways to Get the Tax Credit
There are several small changes which a homeowner can make to their property which are both simple and affordable. The easiest of these is probably residential window tinting. Having your windows darkened with a qualified product is inexpensive and is very fast. Hiring a professional to install residential window film will result in a lasting finish, with professional, beautiful results. While some may balk at the expense of hiring someone to do what seems like a simple job, it will cost less than buying whole new windows if the job is done improperly. This product can prevent energy transference between the inside of your house and the outdoors, which means that your home will use less energy.
Other Advantages of Going Green
While the cost of some improvements may seem like a huge investment, the money you receive from the tax credit will cover most of the costs. In addition to this, it’s very likely you will see decreases in your energy bill. Many home improvements can help make your home more comfortable and beautiful as well. Reducing the breeze in a drafty room makes everyone a little cozier. A lovely new roof can improve the look of your house, as well as its efficiency. Improvements such as these can increase the resale value which is great for those who are considering selling their home.
In the end, every little bit helps and even if you only have the funds to make a small change like residential window tinting, you can help to create a greener future while saving yourself money at the same time.