Top Navigation  
 
U.S. Flag waving
Office Hours Momday - Friday  8 am - 5 pm Pacific 1-800-835-2418
 
Facebook   YouTube   Twitter
 
 
Backwoods Home Magazine, self-reliance, homesteading, off-grid

Features
 Home Page
 Current Issue
 Article Index
 Author Index
 Previous Issues
 Print Display Ads
 Print Classifieds
 Newsletter
 Letters
 Humor
 Free Stuff
 Recipes
 Home Energy

General Store
 Ordering Info
 Subscriptions
 Kindle Subscriptions
 ePublications
 Anthologies
 Books
 Back Issues
 Help Yourself
 All Specials
 Classified Ad

Advertise
 Web Site Ads
 Magazine Ads

BHM Blogs
 Behind The Scenes
 Ask Jackie Clay
 Massad Ayoob
 Claire Wolfe
 Where We Live
 Dave on Twitter
Retired Blogs
 Oliver Del Signore
 David Lee
 Energy Questions
 Bramblestitches

Quick Links
 Home Energy Info
 Jackie Clay
 Ask Jackie Online
 Dave Duffy
 Massad Ayoob
 John Silveira
 Claire Wolfe

Forum / Chat
 Forum/Chat Info
 Enter Forum
 Lost Password

More Features
 Meet The Staff
 Contact Us/
 Change of Address
 Write For BHM
 Disclaimer and
 Privacy Policy


Retired Features
 Country Moments
 Links
 Feedback
 Radio Show


Link to BHM

Get Powered Up! Certified Energy Manager Jeff Yago answers your alternative energy questions

Wondering about a great new energy-saving device
you found on the Internet? Then CLICK HERE!

Sorry. Jeff no longer answers questions online.
This will remain as a searchable
resource for all BHM website visitors.



Archive for the ‘Tax credits’ Category

 

Solar and Wind Tax Credits

Tuesday, February 10th, 2009

Jeff,

I read your article entitled “Solar and Wind Energy Credits” in the most recent edition of Backwoods Home Magazine.  The article implied that one could get a tax credit for solar powered water wells.

I live on ten acres, and during 2008 installed a solar water pump, tank, and two photovoltaic panels.  I called the Complex Tax Lawï section of the IRS 800 number system to enquire about the tax refund for 2008, and the man told me that I could NOT get a credit unless the solar panel went to directly power my house or heat my house.

So, at least for residential purposes, I am out of luck.  The same individual told me that the latest law (2009) still only applies to solar for residences, and not water wells, and only the caps have changed.

It was unclear if there are differences for businesses, but my little pecan orchard is not an official business.

If you know absolutely something different from this and better, please let me know.

Thanks,

Richard Gollad

Richard:

The reason I wrote the article is this new legislation is complex and I anticipated there would be misunderstandings and limited solar tax advice out there.

The new October, 2008 bill has no limits on the Federal income tax deduction and covers solar equipment purchased (or first placed into operation ) after Jan.1. 2009, which appears to be after your installation was completed.  The older solar bill passed in 2005 is almost the same legislation, but has a limit of  $2000 tax credit which is what applies to your situation.

Several national solar associations have had their attorneys study this bill and have determined that a solar power system to power a well does meet the requirement for a tax credit, but not the cost of the well or the well pump.

However, these groups ( and Jeff Yago and Backwoods Home magazine) are not tax attorneys and this information is for general information only.  You are advised to get the assistance of a tax professional to resolve this question, but I would question any advice from a government website or phone tax help center as the tax code is very complex and most will have only a limited knowledge of any specific code section.

Good luck,

Jeff Yago

 
 


 
 

 
 
 
 
 
Copyright © 1998 - Present by Backwoods Home Magazine. All Rights Reserved.