Recovery Blog

Tax Credits You May Qualify For

Posted in Benefits & Tax Credits, Uncategorized by Recovery.gov on November 17, 2010

Tax credits and benefits make up $288 billion of the $787 billion allocated by the Recovery Act.  See if you might qualify for any of these tax credits: 

College expenses – The American Opportunity Credit modifies the existing Hope Credit for tax years 2009 and 2010, making the Hope Credit available to a broader range of taxpayers.  It also adds course materials to the list of qualifying expenses and allows the credit to be claimed for four post-secondary education years instead of just two.  Many of those eligible will qualify for the maximum annual credit of $2,500 per student.  

Energy-efficient improvements  —  The Residential Energy Property Credit increases the credit rate to 30 percent of the cost of improvements, such as added insulation, energy efficient exterior windows, and energy-efficient heating and air conditioning systems.  The maximum credit limit is $1,500 for improvements made in 2009 and 2010. Frequently asked questions about the program are listed on the Energy Star website.

Alternate energy equipment installation – If you install solar hot water heaters, geothermal heat pumps or wind turbines at your home, you might qualify for the Residential Energy Efficient Property Credit that allows for a credit equal to 30 percent of the cost of the qualifying equipment’s installation.

Working Individuals and Families – If you make a low to moderate income and file a tax return, you could qualify for the Earned Income Tax Credit

Parent(s) with children – If the amount of your Child Tax Credit is greater than the amount of income tax you owe, you may be able to claim the Additional Child Tax Credit.

Working Individuals — Making Work Pay provides for a refundable tax credit of up to $400 for working individuals and up to $800 for married taxpayers filing joint returns.  

We’ll be keeping you up to date on any additional tax credits and changes to those listed here.

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12 Responses

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  1. Todd Smith said, on July 20, 2011 at 10:14 am

    Great information. keep it up.

  2. Julia said, on October 14, 2011 at 3:25 pm

    Well done and great info. Keep up the good work continue.

  3. HairstylesAddict said, on October 21, 2011 at 7:00 pm

    The Recovery Act, enacted earlier this year, expanded home energy tax credits such as residential energy efficient property credit.

    Homeowners going green should also check out a second tax credit designed to spur investment in alternative energy equipment. The residential energy efficient property credit, equals 30 percent of what a homeowner spends on qualifying property such as solar electric systems, solar hot water heaters, geothermal heat pumps, wind turbines, and fuel cell property. Generally, labor costs are included when calculating this credit. Also, no cap exists on the amount of credit available except in the case of fuel cell property.

    Not all energy-efficient improvements qualify for these tax credits. For that reason, homeowners should check the manufacturer’s tax credit certification statement before purchasing or installing any of these improvements. The certification statement can usually be found on the manufacturer’s website or with the product packaging. Normally, a homeowner can rely on this certification. The IRS cautions that the manufacturer’s certification is different from the Department of Energy’s Energy Star label, and not all Energy Star labeled products qualify for the tax credits.

  4. sean said, on November 8, 2011 at 12:14 pm

    Here in Bonita Springs we should be receiving tax credits along with everyone else

  5. selfbuildconservatories said, on November 11, 2011 at 9:19 am

    How many people are missing out on tax credits through too little information given to them.

  6. Larry said, on December 30, 2011 at 4:25 pm

    Really appreciate all the help we can get. With this economy, self-employed and small business owners need all the help they can get!

  7. Explow said, on January 24, 2012 at 7:06 am

    I am a college student and i wasn’t aware of the tax credits i could receive as one. Thank you for this post, but could you please elaborate on this topic in subsequent posts. It will be of great help.

  8. red jacket said, on May 19, 2012 at 4:13 am

    informative post…

  9. Bob Torrez said, on July 27, 2012 at 12:21 am

    Great blog with very relavent content to what I was looking for!

  10. John Schultz said, on March 16, 2013 at 11:33 am

    You may also qualify for an energy tax credit under section 45L of the EPACT 2005. I think that bears mentioning in the article, as the full credit is worth $2000/dwelling unit.

  11. schultzenergyconsulting said, on April 5, 2013 at 9:33 am

    Alternative energy systems will certainly provide an Energy tax credit. However, merely ensuring that your building whether it is a residence or commercial building is energy efficient, may provide a larger energy tax liability relief than alternative systems will. Think of the building as a whole, and maximize efficiencies in envelope, hvac and sealing air leaks may provide an excellent tax incentive for property owners.

  12. Stuart said, on January 29, 2014 at 4:13 pm

    Hello it’s me, I am also visiting this web site on a regular basis, this website is actually good and
    the users are really sharing nice thoughts.


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