How to Get a Tax Rebate on Energy Efficient Appliances
Energy efficient appliances may be a touch more expensive but they provide us with great savings over a long period of time. There have been many incentives on the part of the government as well since these appliances reduce the pressure on the energy grids and reduce energy needs to be produced.
You can actually claim a rebate on your taxes when you buy these appliances. You must know the procedure of applying for this tax rebate in order to make the money you spent on these appliances even more worthwhile.
Instructions
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1
Know the Allowed Appliances
There are going to be many appliances that will qualify for the tax rebate. Make sure that you are aware of the list at the time you are making a purchase of these goods. Only buy the ones that are allowed under the rebate program. Make sure that you keep the original receipt that you got at the time of the purchase with you as it will most probably be needed later on as a proof of purchase. -
2
Know the Limit
The credit is given to up to 30% of the value of the product in the year in which it is purchased. There is generally an upper limit after which the energy credit will not be given. So make sure that if the credit limit is say $1500 dollars, you do not make purchases in which you would have had a credit of say $2100 as you will only get $1500. The remaining $600 will not be considered. -
3
File Form 1040
This is your tax form for income. File it before April 15th as afterwards, you will most probably need to pay the penalties set by IRS for late filing. Filing your taxes is the first step in claiming the energy efficient appliances tax rebate. -
4
Form 5696
This is the form that is used to apply for a non-business energy property credit or the residential energy-efficient property credit. Have this filed in with the form 1040 in order to get the tax rebate.
