Fiscal Cliff Deal Saved Consumer Energy Tax Credits
Some tax payers may have something extra to be thankful for from Washington, DC as the 2012 tax filing deadline approaches. Consumers who invested in new insulation, water heaters, air conditioners, boilers and other qualifying appliances will be able to claim the 25C federal tax credit when they file their 2012 taxes.
Thanks to the effort late last year on the compromise “fiscal cliff” deal between congress and the white house at least one of the more logical tax incentives that was allowed to expire in 2011 has been restored. H.R. 8, the American Tax Payer Relief Act more commonly known as the Fiscal Cliff deal, fully restored the Residential Energy Efficiency Tax Credit. This means home owners who made qualifying energy-efficient improvements to their homes in 2012, or do so in 2013, can once again get a dollar-for-dollar reduction on their federal income taxes.
Fortunately for home owners, this includes the credits for insulation. One of the quickest recoveries on investment for energy-efficient home improvements is adding insulation. It delivers immediate savings allowing the cost to be recouped in just a few years. And, unlike an appliance which will eventually wear out, cellulose insulation typically will last the life of the dwelling.
Learn more about the tax credit opportunities and requirements on the Greenest Insulation Blog.