A tax credit for 30 percent of the cost of a residential fuel cell and microturbine system -- up to $500 per 0.5 kilowatt of power capacity is also available through Dec. 31, 2016. New construction and existing homes qualify for the credit, but the home must be your primary residence. |
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Energy systems for rental homes are excluded from both credits.
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Use Form 5695 to figure and take your residential energy efficient property credit, and the nonbusiness energy property credit. |
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Also use Form 5695 to take any residential energy efficient property credit carryforward from 2013 or to carry the unused portion of the credit to 2015.
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If you made energy saving improvements to more than one home that you used as a residence during 2014, enter the total of those costs on the applicable lines of Form 5695.
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Tax credit for hybrid cars has expired, but there is a New Qualified Fuel Cell Motor Credit available for a motor vehicle that is propelled by power derived from one or more cells which convert chemical energy directly into electricity by combining oxygen with hydrogen fuel which is stored on board the vehicle in any form. Under current law, this tax credit expires on December 31, 2014. |
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The vehicle must be purchased prior to Jan. 1, 2015, and placed in service in the taxable year. For fuel cell vehicles that weigh not more than 8,500 pounds, the base credit amount is $4,000. The amount of credit available for heavy vehicles varies from $10,000 to $40,000, depending on the weight of the vehicle. |
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An additional credit may be available for a fuel cell passenger automobile or light truck based on a comparison of the city fuel economy rating of that vehicle with the 2002 model year city fuel economy of a vehicle in its weight class.
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You can use Form 8910 to figure your credit for alternative motor vehicles you placed in service during your tax year. The credit attributable to depreciable property (vehicles used for business or investment purposes) is treated as a general business credit. Any credit not attributable to depreciable property is treated as a personal credit. |
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You can go to the DOE’s Fuel Economy website, to search by make, model and year and see if your car is eligible for a tax credit and to obtain more information about state and local incentives for electric vehicles. |
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If you like to keep up with the newest electronic devices on the market, you should know there are many useful and eco-friendly alternatives for disposing of your old electronics and take advantage of your charitable donation deduction at the same time.
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Many companies have recycling programs for used and unwanted electronics and several have partnered with qualified charitable organizations.
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If you're no longer using a device, donate it as soon as you can, as the value of consumer electronics declines at a fast pace and a computer that's three years old, for instance, can be refurbished and used by students; a computer that's six years old will most likely be recycled for parts. |
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You can assign your own fair market value to each item you donate based on what the item sells for on eBay or somewhere similar within reason, of course. If the donation is valued at less than $500, there are no forms to fill out. Once your total charitable contribution deductions exceed $500, you must submit Form 8283 with your tax return. |
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Help from a tax professional is always welcome if you want to be certain you don’t overlook any of the tax deductions and credits you may be entitled to.
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