With 2010 quickly coming to an end, many Americans are looking into purchasing an alternative energy source for their home to take advantage of the energy Star tax credit for the 2010 tax year. This tax credit can save the taxpayer of to 30% of the cost of the product.
There are several options when it comes to choosing an alternative energy system for your home. There is of course the type of system that you would like to install. You can choose from solar power to wind power. Once you choose the type of system that you would like to install, you’ll need to figure out how much electricity you would like to produce. To get an idea of how much electricity you need to produce you will need to check your past power use. This can be accomplished by contacting your electric company and asking for the number of kilowatt hours you have used in the past couple of years. They will read off the numbers for each month. Take note of extremely high months such as summer and winter.
Read over the qualifications for claiming the energy Star tax credit by visiting the energy Star website. Here you will find the information needed to choose an energy Star qualified system. Shop around and see what is available. Before making a final decision, and sure that the system you are interested and qualified for the energy Star tax credit. The last thing that you want to do is purchase a system and not receive the tax credit because it is the wrong type. In addition, you may also want to look at additional tax credits being offered by your state. Many states such as California are offering other tax credits in addition to the federal tax credit.
