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robls · 10-02-2009, 07:34 AM

Hey Everyone,
Maybe I am missing the answer to this question going through the discussions on previous threads, and reviewing the Federal Tax Credits for Energy Efficiency : ENERGY STAR
but maybe someone can answer this question for me, after I give some details.
I am replacing my 30-year old furnace within the next month. Have 4 quotes in hand right now. Looking to get one of the eligible high-efficiency models to quality for Federal Tax Credits for Energy Efficiency in 2009. I try to structure my taxes to come up even or owe little in way of taxes. There is no way I will be eligible for the total $1,500 tax credit in 2009.
I am thinking of replacing my sliding glass door, and some windows in 2010, that qualify for the tax credit.
The question is this. If I use some of the tax credit in 2009, can I use the tax credit in 2010?
Thanks in advance.
Rob

Nords · 10-02-2009, 08:59 PM

One of the reasons the program is so confusing is because it gets amended and extended every year or so. You can review the latest federal incentives here:
http://www.dsireusa.org/incentives/i...S43F&re=1&ee=1
and then check your state rules here:
DSIRE: DSIRE Home

In general the credits will not be refunded (only applied to taxes due) but they can be rolled over to subsequent tax years. (We rolled ours over for four years before using them up.) A few states are threatening to curtail this for other credit programs, but so far the energy incentives haven't been affected.

If you've ever considered converting a conventional IRA to a Roth IRA for other reasons, then the tax credits might tip the scales in favor of a conversion.

youbet · 10-02-2009, 09:10 PM

Quote:

Originally Posted by Nords

If you've ever considered converting a conventional IRA to a Roth IRA for other reasons, then the tax credits might tip the scales in favor of a conversion.

Interesting angle on that Nords. Thanks!

Nords · 10-02-2009, 10:34 PM

Quote:

Originally Posted by youbet

Interesting angle on that Nords. Thanks!

You're welcome; "credit" goes to a presentation I heard from a partner at our local Grant Thornton accounting branch. Hawaii is curtailing some other types of tax credits to be used in the year in which they're incurred, and I'm afraid that they're going to try to spread the practice across the entire code. So people are coming up with innovative ways to use their credits before it's too late...