Major Home Repair 2012 Deduction

[Sammie]

We have to have a new HVHC unit installed in our home ASAP. Just received an email from our Accountant and was told to get the 10% reimbursement for having this installed it has to be done by Dec. 31 st 2012. Then the reimbursement is gone. Just want to provide some information to everyone here. sammie

[kawh]

Maybe this is a dumb question, but who is giving 10% back, the utility company?

Our local gas company has a program that reimburses for a service call, if you get your heating system checked, but there were so many caveats about it running out of money unless you did it promptly, I decided that as soon as I tried to take advantage, it surely would turn out to be out of money.

[Sammie]

It is 10% up to $500.00 deduction on your Income Tax from the Federal Government. I would suggest talking to your Acct. sammie

[chicagoed195]

The 10% credit for energy efficient improvements expired as of December 31, 2011.

The only credit currently in effect is the 30% credit for solar, wind and geothermal heat pump property.

It is possible that congress will extend the energy credit provisions as they have done late in the year for the past few years, but they haven't done so as of now.

[Pjmax]

Sammie, I believe Chicagoed195 is correct. I would ask your acct. to send you a document that clearly states what he is talking about, before you go and spend the big bucks. I'm sure he has a reason for giving this info, but I would double-check.

[kawh]

My acct, Mr Turbotax, is telling us it's still available, as they updated their Form 5695 page for tax year 2012. I think part of it did expire, but the 2nd page of Form 5695 still applies.

[LadyInTheRed]

My acct, Mr Turbotax, is telling us it's still available, as they updated their Form 5695 page for tax year 2012. I think part of it did expire, but the 2nd page of Form 5695 still applies.

The 2nd page is the 30% credit. My research is consistent with what chicoed195 says:

The 10% credit for energy efficient improvements expired as of December 31, 2011.

The only credit currently in effect is the 30% credit for solar, wind and geothermal heat pump property.

Here's one of the many articles I found saying that the 10% credits expired in 2011: http://www.energytaxincentives.org/

So, if it is the federal credit Sammie is trying to get, it doesn't sound like he can get it for an HVAC system installed this year. But, some states and counties have their own energy tax incentives. Sammie, I agree with Pjmax that you need to ask your CPA some questions before relying on getting a tax credit.

[Sammie]

Thank you everyone for your responses. I will double check with her next week when she is back in the office. It would be nice to have the $500 reimbursement, but it won't change anything since we have to get the HVHC installed within the next couple of weeks or we won't have a heater/ac unit.