Radiant Barrier Tax Credit Information

Federal Tax Credits for Energy Efficiency Improvements

On February 17, 2009, The American Recovery and Reinvestment Act of 2009 was signed. This has some significant changes to the energy efficiency tax credits.


 
Tax Credit Changes
  • The tax credits that were previously effective for 2009, have been extended to 2010 as well.
  • The tax credit has been raised from 10% to 30%. This is a HUGE DEAL!! If you buy $300 worth of insulation, it will only COST you $210 after you take the $90 (30%) TAX CREDIT. This is money straight off your taxes.
  • The maximum credit has been raised from $500 to $1500 for the two years (2009–2010).
Important Information About The Tax Credit:
  • Must be for taxpayers principal residence
  • Must be placed in service between Jan 1, 2009 and December 31, 2010
  • To qualify, its primary purpose must be to insulate (reduce heat gain or loss)
  • Installation Costs are NOT included. If installed by a professional installer, you will need an invoice with the cost of materials and labor separated.
  • Improvement must be expected to last for more than 5 years.
How To Take Your Tax Credit:
  • Must have a Manufacturer Certification Statement
  • Save a copy of the Certification Statement with your tax records. You do not need to send a copy with your IRS Tax Return.
  • improvements made in 2009 will be claimed on your 2009 taxes (filed by April 15, 2010) — use IRS Tax Form 5695 (2009 version) — it will be available late 2009 or early 2010

Talk to your Tax Professional to determine your exact eligibility for tax credits.

Visit the EnergyStar website for complete info on Radiant Barrier and other Energy Improvement Tax Credits
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