Let Your Skylights Pay for Themselves: Savings and Incentives
If you’ve considered the many benefits of skylights for your home or business but have balked at the cost, there’s another option available. With several laws that have been passed over the past several years, you can now receive significant tax credits from a variety of government agencies, both state and federal.
In this post, we’ll cover these tax credits, as well as how they can help make skylight installation in your Buffalo home more affordable.
Let Your Skylights Pay for Themselves: Savings and Incentives
There are several acts at the federal level that were signed into law starting in 2008 that have contributed to a combined savings of up to 30% of the cost of your skylight purchase and installation. These laws cover electric vehicles, solar electric property, heat pumps, solar panels, and similar home improvements focused on increased energy efficiency.
The process of claiming the tax credit is simple. When you receive the invoice from your contractor for the materials and installation of a qualifying VELUX solar-powered skylight or skylights, retain them. Attach them to the completed Manufacturer’s Certification Statement, then save the documents until it’s time to do your taxes.
When it’s time to do your taxes, simply fill out an IRS Residential Energy Efficient Property Credit Tax form #5695, and submit it with your 1040, with the tax credit entered on Form 1040. This tax credit is in effect at 30% until 2032, then decreases to 26% in 2033 and 22% in 2024. For this reason, it’s better to take advantage of the tax credit sooner rather than later.
But beyond the federal government, there are also New York State tax credits as well. The Solar Energy System Equipment Credit can be claimed by following the instructions on Form IT-255, Claim for Solar Energy System Equipment. This tax credit allows you to claim up to 25% of your system’s material and labor costs on your state income tax returns, up to $5,000.
When you combine federal and state programs, that’s an astounding 55% back on your solar-powered VELUX skylights, making it a much better deal than you may otherwise have expected. Are you ready to bring new light into your home? If so, the experienced professionals at AVA Roofing in Buffalo offer skylight installation services and can explain the savings and incentives to you. Please feel free to reach out today with any questions or concerns.
