Credit Where Due

I've pissed and moaned about the Energy Bill since June, as you're probably well aware. Well, it's been signed by Bush, and so has become the law of the land. There are some small perks for consumers in the bill, and I think they should be bruited about loudly. From today's Dallas Morning News, a list of consumer tax credits available for energy-saving home and transportation measures:

--Home Improvement: Consumers can receive a 10 percent tax credit -- up to $500 -- for home improvements in 2006 and 2007. The measure covers products such as advanced thermostats, insulation, doors and windows. The credit for new windows is capped at $200.

--Efficient Appliances: Certain efficient air conditioners, heat pumps and water heaters can provide a tax credit of up to $300. Purchasing a furnace or boiler provides a credit of up to $150, and $50 for advanced fans.

Manufacturers also receive tax benefits for producing high-efficiency washers, refrigerators and dishwashers.

--Hybrid Vehicles: Tax credits for hybrid, fuel-cell or clean-diesel vehicles can offer some of the largest benefits to individual consumers. But they'll also be some of the hardest to decipher.The credits, starting in January, replace a $2,000 tax deduction offered for hybrid vehicles.

One credit ranges from $400 to $2,400 based on the fuel-economy rating of the new vehicle. Another credit of $250 to $1,000 is based on how much gasoline the vehicle is expected to save over its lifetime.

Once a manufacturer sells 60,000 hybrid vehicles that are eligible for the tax break, the size of the credit starts diminishing. (I think this is rather strange. How does this help consumers? Not at all.)

--Solar Panels: In 2006 and 2007, consumers can receive a tax credit for 30 percent of the cost of installing solar panels or a solar-powered water heater, up to $2,000.

In Texas, the heaters can run a few thousand dollars. The price of solar panels depends on the size of the system, with a project often stretching into the five figures. Solar systems for pools are specifically excluded from the tax credit. (Why this exclusion, I have to wonder?)

| +Save/Share | |