Tax Credits

Get rewarded for improving your home!  You could be eligible for up to $1,500 in tax credits, if you purchase energy efficient windows, roofing, doors or insulation from Michael & Son in 2009.  Reduce your energy bills while saving on your new home improvements.

Because of the American Recovery and Reinvestment Act of 2009, home improvement tax credits are now available for qualifying home improvements placed in service from January 1, 2009 through December 31, 2010. Michael & Son products that qualify for the tax credit include eligible: hvac, water heaters,heat pumps,windows, roofing, solar energy, doors and insulation.

SUMMARY OF TAX CREDITS FOR HOMEOWNERS

Product Category
Product Type
Tax Credit Specification
Tax Credit
Notes
Windows & DoorsExterior Windows and SkylightsU factor <= 0.30SHGC <= 0.3030% of cost, up to $1,5002Not all ENERGY STAR labeled windows and skylights qualify for tax credit.More information
Storm WindowsMeets IECC1 in combination with the exterior window over which it is installed, for the applicable climate zone30% of cost, up to $1,5002Manufacturer Certification Statement3 will list classes of exterior window (single pane, clear glass, double pane, low-E coating, etc.)4 that a product may be combined with to be eligible in specific climate zones.
Exterior DoorsU factor <= 0.30SHGC <= 0.3030% of cost, up to $1,5002Not all ENERGY STAR doors will qualify.
Storm DoorsIn combination with a wood door assigned a default U-factor by the IECC1, and does not exceed the default U-factor requirement assigned to such combination by the IECC30% of cost, up to $1,5002
RoofingMetal Roofs,
Asphalt Roofs
ENERGY STAR qualified30% of cost, up to $1,5002All ENERGY STAR metal and asphalt roofs qualify for the tax credit.Must be expected to last 5 years OR have a 2 year warranty.
InsulationInsulationMeets 2009 IECC & Amendments30% of cost, up to $1,5002For insulation to qualify, its primary purpose must be to insulate (example: insulated siding does not qualify).Must be expected to last 5 years OR have a 2 year warranty
HVACCentral A/CSplit Systems:
EER >=13
SEER >= 16Package systems:
EER >= 12
SEER >= 14
30% of cost, up to $1,5002Note — not all ENERGY STAR products will qualify for the tax credit.
Air Source Heat PumpsSplit Systems:
HSPF >= 8.5
EER >= 12.5
SEER >= 15Package systems:
HSPF >= 8
EER >= 12
SEER >= 14
30% of cost, up to $1,5002
Natural Gas or Propane FurnaceAFUE >= 9530% of cost, up to $1,5002For a list of qualifying products go to the Gas Appliance Manufacturing Association Exit ENERGY STARNot all ENERGY STAR products will qualify for the tax credit.
Oil FurnaceAFUE >= 9030% of cost, up to $1,5002
Gas, Propane, or Oil Hot Water BoilerAFUE >= 9030% of cost, up to $1,5002
Advanced Main Air Circulating FanNo more than 2% of furnace total energy use. Read this FAQ if the fan qualifies, but the furnace does not.30% of cost, up to $1,5002ss
Water HeatersGas, Oil, Propane Water HeaterEnergy Factor >= 0.82
or a thermal efficiency of at least 90%.
30% of cost, up to $1,5002All ENERGY STAR gas tankless water heaters will qualify.There are currently no ENERGY STAR qualified gas storage tank or gas condensing water heaters that qualify.
Electric Heat Pump Water HeaterSame criteria as ENERGY STAR: Energy Factor >= 2.030% of cost, up to $1,5002All ENERGY STAR electric heat pump water heaters qualify for the tax credit.
Biomass StoveBiomass StoveStove which burns biomass fuel5 to heat a home or heat water.Thermal efficiency rating of at least 75% as measured using a lower heating value.30% of cost, up to $1,5002
Geo-Thermal Heat PumpGeo-Thermal Heat PumpSame criteria as ENERGY STAR:Closed Loop:
EER >= 14.1
COP >= 3.3Open Loop:
EER >= 16.2
COP >= 3.6

Direct Expansion:
EER >= 15
COP >= 3.5

30% of the costAll ENERGY STAR geo-thermal heat pumps qualify for the tax credit.Use IRS Form 5695 PDF Exit ENERGY STAR

Must be “placed into service” before December 31, 2016.

Solar Energy SystemsSolar Water HeatingAt least half of the energy generated by the “qualifying property” must come from the sun. Homeowners may only claim spending on the solar water heating system property, not the entire water heating system of the household.The credit is not available for expenses for swimming pools or hot tubs.

The water must be used in the dwelling.

The system must be certified by the Solar Rating and Certification Corporation (SRCC).

30% of costAll ENERGY STAR solar water heaters qualify for the tax credit.Use IRS Form 5695 PDF Exit ENERGY STAR

Must be placed in service before December 31, 2016.

Photovoltaic SystemsPhotovoltaic systems must provide electricity for the residence, and must meet applicable fire and electrical code requirement.30% of costUse IRS Form 5695 PDF Exit ENERGY STARMust be placed in service before December 31, 2016.