Let the Energy Savings Tax Plan Work for You in 2011:
Congress Provides New Replacement Window Incentives
The United States tax credit was amended and extended through December 31, 2011 by the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010. As of January 1, 2011 several characteristics of this credit will change from their current form. Most significantly, the cap will be reduced from $1,500 to $500. The cap is on the total amount of credits a homeowner may claim between 2006 and 2011, not just for 2011. If a homeowner has already claimed $500 or more in credit through this allowance, they will be unable to claim new credits for improvements made during 2011.
The newly enacted American Recovery and Reinvestment Act of 2010, or the Stimulus Bill, has officially been extended into 2011, with stipulations. The bill offers homeowners incentives for improving their home’s energy efficiency. For 2011, the tax credit for qualified energy efficiency improvements will cover up to 10% of the total cost of replacement windows, up to a total of $500 ($200 maximum for windows alone, $500 for energy efficient windows and doors). For example, if you purchase $5,000 worth of upgraded-glass windows and doors from Window World of Rhode Island, you may get the maximum 10% tax credit of $500 – making the real cost of your windows only $4,500. This is an aggregate tax credit from 2006-2011, meaning any homeowner who has already received credit on energy efficient home improvements and appliances is not eligible for the 2011 tax credit.
Now, in addition to Window World of Rhode Island’s professional consultation, expert installation and already lower prices, you get an additional 10% off the cost of your windows!
Qualifying and Claiming Tax Credit is Easy
To get in on the energy cost savings, as well as the attractive tax incentives:
- Purchase qualifying windows or doors from Window World of Rhode Island, then save your sales receipt and the NFRC/ENERGY STAR label with your tax documents.
- Have your windows or doors installed between January 1, 2011 and December 31, 2011.
- Claim the tax credit on your federal filing for the 2011 tax year.
A “qualifying” window or door is one that carries both a U-Factor equal to or less than 0.30 and a Solar Heat Gain Coefficient (SHGC) equal to or less than 0.30. You can find more information on energy ratings and qualifying products at the ENERGY STAR® website.
Replacement Windows: The Time is Now
Custom-built replacement windows from Window World of Rhode Island are a wise choice. They add value to the home and save money on energy costs. And now, with new federal incentives, replacement windows are more affordable than ever. So, call Window World of Rhode Island to schedule a free, no-obligation in-home window demonstration today. There’s never been a better time to invest in energy savings!
Frequently Asked Questions about the Tax Credit
- What is the definition of a “replacement window?”
- Do I need new replacement windows?
- What causes the fog inside my windows?
- How do you determine the energy efficiency of a replacement window?
- I often hear that replacement windows “pay for themselves.” Is this true?
- Isn’t there some kind of tax incentive to install replacement windows?
- So, how do I get started?
What is the definition of a “replacement window?”
Replacement windows from Window World of Rhode Island are built specifically to fit within the space of your existing windows. Replacement windows will fit precisely, and can usually be installed without damaging your interior walls or exterior siding.
Do I need new replacement windows?
If these signs sound familiar, you may need replacement windows:
- Windows are hard to open or close
- Drafts or air leaks around or through your window frames
- Excessive fogging or ice inside your window panes
- Wind causes your windows to rattle or vibrate
- Paint on your window frames is chipped or peeling
- Your house seems hot in the summer, and cold in the winter
What causes the fog inside my windows?
Fog, or condensation, is caused by humidity, or water vapor in the air. When the water vapor makes contact with a cooler surface, like your window glass, it creates droplets of moisture on the inside of the glass.
Replacement windows from Window World of Rhode Island are better insulated than your old windows. This keeps the glass warmer, and helps prevent condensation from forming on your windows. Note that if you live in a highly-humid environment, it is very difficult to completely prevent condensation from forming on your windows. Lowering the humidity in your home will help, however.
How do you determine the energy efficiency of a replacement window?
Every replacement window from Window World of Rhode Island carries an NFRC rating label. The National Fenestration Rating Council is an independent testing organization that measures how well each window resists the transfer of heat and cold. This is the window’s “U-factor.” The lower the U-factor number, the better insulating quality of the window.
I often hear that replacement windows “pay for themselves.” Is this true?
Absolutely. It is simply a matter of time. However, you must pick the right windows to get the most for your investment. High-quality, energy-efficient replacement windows from Window World are engineered specifically for your home and expertly installed. They will provide years of comfort in your home, and cost savings on your heating and cooling bills.
Isn’t there some kind of tax incentive to install replacement windows?
Yes. There has never been a better time to start saving on your heating and cooling bills. Last year, the U.S Congress enacted the American Recovery and Reinvestment Act of 2010, which has now been extended through 2011. For 2011, the tax credit for qualified energy efficiency improvements during the taxable year returns 10% of the cost of items like replacement windows via a tax credit. So, if you purchase $5,000 worth of windows and doors with upgraded glass and insulation, you will get a 10% tax credit of up to $500, making the real cost of your windows and doors only $4,500 ($200 maximum for windows only, $500 maximum for energy efficient windows and doors). The cap is on the total amount of credits a homeowner may claim between 2006 and 2011, not just for 2011. If a homeowner has already claimed $500 or more in credit through this allowance, they will be unable to claim new credits for improvements made during 2011.
So, how do I get started?
The first step is to call Window World of Rhode Island for a free, in-home, no-obligation window demonstration. A replacement window specialist will discuss your window options, the potential cost savings and the installation process, as well as answer any questions you may have.
The above summary represents the best available information. It is a partial summary of the revisions to the federal tax code (U.S. Code Title 26, Section 25C) as updated by the American Recovery and Reinvestment Act of 2009. Taxpayers are advised to consult with the IRS regarding any updates to the IRS interim guidance in Notice 2006-26 for further details on the tax credit. Other energy efficiency improvements may apply; taxpayers should check the following link and the IRS website for further details (http://www.irs.gov/newsroom/article/0,,id=154657,00.html). Window World of CSRA bears no responsibility in the validation of obtaining the tax credit. Taxpayers should consult with a professional tax advisor or the IRS. Additional information is available at: http://www.energystar.gov/.
