Non-Business Energy Property Tax Credits Extended
It can be confusing keeping up with the Federal Tax Credits for insulation. For several years running, congress has retroactively extended the program that encourages homeowners to add or upgrade insulation in their homes. That is the case again with the credit retroactive through 12/31/2021.
Here’s how the program works when adding or upgrading home insulation:
-Tax Credit on Federal Income Tax for 10% of the cost for insulation product (labor not included) up to $500.
-Must be purchased on or before 12/31/21.
-Must be an existing home and principal residence. (New construction does not apply.)
CIMA continues to encourage congress to make the insulation tax credits a permanent program, or at least legislate for an extended period. The constant expiration and retroactive renewal makes it hard for homeowners to understand and plan. And there is no better way to reduce the energy consumption and corresponding environmental impacts from heating and cooling homes.