Home Equity Loan,Energy Efficien Home And Healthy Living

Home Energy Efficiency Improvement Tax Credits

Residents of the United States have one big advantage that they can reduce their taxes by making their homes as energy efficient as possible. There are certain types of home improvements which make the home owners eligible for tax credits like installing central air conditioning and heating, geothermal heat pumps, hot water boilers and advanced main air circulating fans.

The cost of the installation of the equipment and its purchase price are both included while ascertaining the price of an asset in the books of account. Homeowners can get a tax credit of up to 10% of the purchase price of the qualified energy efficient unit. If you have any doubts about the procedure of claiming tax credits you can always consult your financial advisor about any doubts that you may have.

Installation of photovoltaic systems can be expensive and the returns will be evident in the long run. On the other hand a solar hot-water system can pay for itself quickly and as energy prices rise, continue to save a homeowner increasing amounts of money. Solar hot water systems rely on a relatively simple and cheap technology to circulate water through panels that face the sun thereby supplementing and even replacing conventional water heating systems.

These home energy efficiency tax credits give relief to the users against the rising prices of energy. The idea behind granting these energy efficient tax credits is to give a sort of cash back to the customers whenever they purchase certain energy saving products. The most generous credits are available for those who add solar water, heat or power to their home. Solar equipments like solar water heaters are reasonably priced, easier to install and are a much better bet than conventional solar heaters.

By: Roselynn Jeff