The Energy Tax Extenders of The American Taxpayers Relief Act of 2012
extends the federal tax credits that expired in 2011 from January 1,
2012 until December 31, 2013 for “Qualified Energy Property” listed in
Section 25C of the Internal Revenue Code. Because the credits were made
retroactive to January 1, 2012, tax credit is available for qualified
equipment that was installed any time after December 31, 2011.
A tax credit can provide significant savings. It reduces the amount of
income tax you have to pay. Unlike a deduction, which reduces the amount
of income subject to tax, a tax credit directly reduces the tax itself.
The federal tax credit for qualified equipment
is 10% of the amount paid but shall not exceed $300 for the qualified
energy property. There is a lifetime limit of $500 for this
credit, meaning if a homeowner has previously claimed the credit (up to
$500), they will be ineligible to claim it on their 2012 and 2013 tax
returns. As every taxpayer’s situation is different, please consult a
tax advisor for the actual credit.
Manufacturer's Certification Statement
Click for a list of
Form 5695 To claim your tax
credit, you will need to submit this form.