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FOR IMMEDIATE RELEASE
Hammer and Nail Your Way to a Greener Earth
and a Tax Credit
Lohman Company, PLLC Reveals How to Cash
In
March 25, 2008 -- Homeowners who made energy efficient
improvements to their homes in 2007 may find some extra cash in their
pockets come April 15th. Homeowners who installed energy efficient
products can feel good about helping save Mother Earth and may be eligible
for a tax credit.
You can claim an energy tax credit for 2007 worth 10% of the
cost up to $5,000, resulting in a maximum tax credit of $500 for
qualified home improvements installed before December 31, 2007.
“Taking advantage of tax credits available for
energy-efficient home improvements is a simple way to be
rewarded for your hard-work” said Jay Lohman, founder and
president of Lohman Company, PLLC, a certified public accounting
firm in Mesa.
Lohman has five tips about receiving tax credits for
energy-efficient home improvements:
- Decide What Credits You're Eligible For
– You may be eligible to take advantage of two types of
residential energy credits. One is the non-business energy
property credits and the other is the residential energy
efficient property credit. There are a number of
circumstances that can qualify you for the credits. For
example, if you have joint ownership of a qualifying
property with a neighbor or friend, you are eligible to take
the non-business energy property credit. Or, if you are
married taxpayers with more than one home, you may be
eligible to take advantage of both credits.
- Complete Form 5695 – In order to
receive credits, you must complete IRS Form 5695,
“Residential Energy Credit” to be filed with your individual
federal taxes. It is important to read the complete
instructions to make sure you properly calculate the amount
you hope to claim for 2007, as you may be eligible for more
multiple credits at varying amounts. Also, be sure to sign
and date the form to insure timely processing. Visit
EnergyTaxIncentives.org and
IRS Form
5695 for more information, or to complete Form 5695
online.
- Primary Residence – In order to qualify
for the residential energy credit, energy saving
improvements must have been made to your primary residence
located in the United States. Also, as defined by Form
5695, a home is one that you lived in during 2006 and
includes a house, houseboat, mobile home, cooperative
apartment and others. For a full explanation of homes that
qualify, visit www.irs.gov,
or consult with your tax advisor.
- Improvements in 2007 – In order for
energy improving installments to apply, the work must be
performed in the tax year 2007. However, if you cannot use
all of the credit because of the tax liability limit, you
can carry the unused portion of the credit into 2008.
- Improvements Must Qualify – You can
take a tax credit for up to $500. You get 10% of the cost
of installing up to $5,000 worth of energy-efficient
windows, doors, skylights, insulation or a metal roof coated
with heat-reducing pigments. However, only $200 of the
credit can be for replacement windows. You can receive a
credit for installing certain energy-efficient hot water
heaters and central air conditioning systems, too. In
addition, qualified residential energy property must meet
certain performance and quality standards. Also, you can
include any labor costs used for onsite preparation,
assembly, or original installation to the property.
Lohman advises that you consult with a tax specialist or
accountant to be sure you comply with all regulations while
cashing in on available credits.
For More Information Contact:
Lohman Company, PLLC
Stapley Center
1630 South Stapley Drive, Suite 108
Mesa, AZ 85204
Phone: (480) 355-1100
Fax: (480) 355-1130
Internet:
info@lohmancompany.com
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