Solar Tax Credit for 2009 - 2010
January 15, 2010 by admin
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Did you just spend a fortune on installing an energy efficient Solar System for your home ? Your purchase may be eligible for a Solar Tax Credit when you file your Federal Tax return for 2009. Actually both Solar Panels (photovoltaic cells) and Solar Water Heater Systems are eligible for the Solar Tax credit for 2009.
The solar tax credit not only applies to the cost of the system but also to the installation costs.
How to Claim the Solar Tax Credit ?
To qualify for a tax credit on your 2009 tax return, your solar qualifying systems must be placed in service in 2009, you need to file the 2009 IRS Form 5695. and submit it with your 2009 taxes (by April 15, 2010).
The residential energy tax credit (from Form 5695) is claimed on line 52.
Even if you are filing your tax return online with an online tax website, you would still be able to claim this credit. Just follow the instructions on the website.
The tax credit also goes into year 2010. If you purchased and installed your Solar system in 2010, and “placed in service” in 2010, you would take the tax credit on your 2010 income taxes.
You can read more about the solar tax credit on the Energy Star website and the IRS website.
For a quick estimate of your tax refund use an online tax calculator
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