On December 17, 2010, President Obama signed into law a bill that includes a tax credit for energy efficient windows and doors for 2011. The bill establishes new criteria and new, more restrictive limits on the tax credit as compared to the one in effect in 2009 and 2010. The following elements were included in the bill:
How to qualify for the Tax Credit:**
- Purchase and install qualifying windows or doors that meet ENERGY STAR® Windows Program Version 5.0 performance requirements beginning January 1, 2011 through December 31, 2011 .**
- Save your sales receipt, a copy of the Manufacturer’s Certification Statement, and product performance (NFRC Ratings/ENERGY STAR Qualification) sheet with your tax documents.
- Claim the tax credit associated with your qualifying purchase and installation on your Federal filing for the 2011 tax year.
Limitations:
- Tax credit is for the cost of the product only – the credit does not include installation costs.
- Tax credit is 10% of the amount paid up to the maximums listed below.***
- $500 total maximum tax credit for any and all improvements. (Including other eligible items as listed in the IRS Notice.)
• $200 total maximum tax credit for qualifying windows and skylights.
• $500 total maximum tax credit for doors if windows or skylights are not used. - If a combination of windows, skylights and doors are purchased, the total maximum credit is $500, of which $200 is the maximum allowable for windows and skylights.
- The tax credit is an extension from the original tax credits from 2006/2007, and 2009/2010 which means the $200 and $500 and $1,500 credits are a lifetime maximum credits. A homeowner who has already used up the $200 or $500 credit from the 2006/2007 tax credit or the $1,500 tax credit from 2009/2010 is no longer eligible for this tax credit extension.
* This is a summary of the tax credit elements related to windows and doors as set forth in House bill HR 4853 that was signed into law on December 17, 2010, which among other things, extends, with modifications, the tax credits in Section 25C of the Internal Revenue Code. All-Weather verifies only that its products with an ENERGY STAR label will meet the ENERGY STAR performance criteria for the particular climate zones indicated on the label. All-Weather bears no responsibility in validating or obtaining the tax credit and expressly disclaims any responsibility for determining whether a particular purchase or application qualifies for the tax credit. Further, All-Weather does not intend to and is not providing legal or tax advice and recommends that purchasers consult their own tax advisor or the IRS to determine whether the products they purchase for a particular application qualify for the tax credit.
