Frequently Asked Questions:
Q: What is a tax credit?
A: Unlike a deduction, which reduces the amount of income subject to tax, a tax credit directly reduces the tax itself, or increases the amount of your federal tax refund.
Q: When is the deadline?
A: The tax credit applies to improvements made from January 1, 2009 through December 31, 2010. April 15, 2010 is the deadline to claim a credit for window, door, and skylight purchases on 2009 taxes. April 15, 2011 is the deadline for claiming a credit for window, door, and skylight purchases on 2010 taxes.
Q: How much money will I receive for installing windows, doors, and/or skylights?
A: By installing eligible windows and skylights, you may receive a tax credit of 30 percent of the cost. Exterior doors qualify for a tax credit of 30 percent of the cost up to $1500. Installation costs are not included. The maximum amount of homeowner credit for all improvements combined (including roofing, insulation, HVAC, and water heaters) is $1500 during the two-year period (2009 and 2010) of the tax credit.
Q: What windows, doors, and skylights are eligible for the federal tax credit?
A: All ENERGY STAR qualified windows and skylights that are installed in the taxpayer’s primary residence and are qualified in the appropriate ENERGY STAR climate zone are eligible to receive a tax credit. Most ENERGY STAR qualified exterior doors installed in the taxpayer’s primary residence and qualified in the appropriate climate zone are also eligible to receive a tax credit, with the exception of exterior doors installed in certain parts of California.
Storm windows and storm doors are also eligible for tax credits. Seewww.energystar.gov/taxcredits for more information on tax credits for storm windows and storm doors.
Q: What documentation do I need to provide to receive the tax credit?
For exterior doors, homeowners should save:
- Purchase receipts
- All ENERGY STAR/NFRC labels from the installed doors (if available)
- Manufacturer’s Certification Statement or equivalent, which proves the product is eligible
To learn more about tax credits for other ENERGY STAR products please visitwww.energystar.gov/taxcredits.