The American Recovery and Reinvestment Act of 2009
On February 17, 2009 President Obama signed the stimulus bill "The American Recovery and Reinvestment Act of 2009." This bill increasing many of the tax credits. In addition the definition of insulation was expanded to reference the 2009 International Energy Conservation Code.
"any insulation material or system which is specifically and primarily designed to reduce the heat loss or gain of a dwelling unit when installed in or on such dwelling unit, and meets the prescriptive criteria for such material or system established by the 2009 International Energy Conservation Code, as such Code (including supplements) is in effect on the date of the enactment of the American Recovery and Reinvestment Tax Act of 2009,"
Customers can now receive a tax credit of 30% of the cost of material up to a $1,500 total credit.
Must be placed into service during 2009 or 2010 in the homeowner's primary residence.
Installation costs are not covered.
Submit IRS FORM 5695 with your taxes.
Keep a copy of the Manufacturer's Certification Statement for your records.
The Emergency Economic Stabilization Act of 2008 signed by President Bush on October 3, 2008 extended and increase many of tax credits for energy efficient home improvements which had expired in 2007. Federal tax credits will be given for qualifying improvements made during 2009.
The Energy Tax Incentives Act of 2005 Section 25C allows for tax credits on energy upgrades including insulation products when purchased in 2006 or 2007.
Residential customers can receive a tax credit of 10% of the cost of material when you purchase insulation in 2006 or 2007 for use in your residence. The maximum cumulative amount you can receive for 2006 and 2007 is $500. The residential applications that qualify for this credit are attics, walls, and crawl spaces.
Commercial businesses can receive a tax credit of 30% of the cost of material when they purchase insulation in 2006 or 2007 for use in a commercial building.