President Obama Signs Tax Deal

Wed, 2010-12-22 10:10

President Obama Signs Tax Deal – On December 17th, President Obama signed into law the Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act of 2010. Included in the package were a variety of energy efficiency and renewable energy tax provisions that would have expired at the end of this year.

  • 1603 Renewable Energy Grants: The agreement extends the 1603 program, which is helping to support tens of thousands of jobs in the wind and solar industries by providing cash grants to commercial entities valued at up to 30% of projected costs. Since its passage in 2009, the L.A Times has reported that this program help create 100,000 jobs and secure $18 billion in funding.
  • Energy-efficient new homes: The bill extends through 2011 the “Section 45L” tax credit of up to $2,000 for builders of residential homes that are more energy efficient than comparable homes.
  • Energy-efficient appliances: The bill extends through 2011 and modifies standards for the “Section 45M” tax credit for US-based manufacturers of energy-efficient clothes washers, dishwashers and refrigerators produced in the U.S. The extension increases efficiency standards for these products.
  • Energy-efficient existing homes: The bill helps homeowners lower their energy bills by extending through 2011 the “Section 25C” tax credit for energy-efficient retrofits to existing homes. This credit returned to its pre-ARRA levels, allowing taxpayers to claim up to 10% of the cost (max $500) for improvements that make their homes more energy efficient like installing better-insulated windows and doors. The extension increases efficiency standards for oil boilers and furnaces and gas boilers up to 95%.

It is great to see the extension of these tax credits and grants for the 2011 year. Of course, reliable, long term, national support for clean energy is needed to help businesses and homeowners make better investment choices and to help the industry thrive. If you are interested in learning more about renewable energy and sustainability, call us today at 1-800-460-2575!

Related Blogs

Request Information

This question is for testing whether you are a human visitor and to prevent automated spam submissions.