Lived in another home in 2012 and replaced my windows with energy efficient windows in which i was able to get a tax deduction from in 2012. Last year, I bought energy efficient windows again- but now for a different home in which i now live. I no longer live in the home from 2012. Can i still get a deduction credit for these 2nd set of windows?
It depends.
There is a lifetime limitation on your window expenses. The amount you may be able to deduct is determined by entering the credit entered in the prior year against the amount you are currently claiming. It is not an improvement per house credit, but a taxpayer credit.
I recommend you go ahead input your information as directed below. TurboTax will do the calculation based upon the amount of the credit from the prior years against the amount spent this year.
Answer the questions as prompted. You will get to a screen which starts asking for information regarding carryforwards from prior years. Enter the information as it applies to your situation.
Pay attention to the questions as they start with 2019 information and then go into improvements from prior years. The information requested for the prior years will show you the year, Form 5695, and the applicable line number.
It depends.
There is a lifetime limitation on your window expenses. The amount you may be able to deduct is determined by entering the credit entered in the prior year against the amount you are currently claiming. It is not an improvement per house credit, but a taxpayer credit.
I recommend you go ahead input your information as directed below. TurboTax will do the calculation based upon the amount of the credit from the prior years against the amount spent this year.
Answer the questions as prompted. You will get to a screen which starts asking for information regarding carryforwards from prior years. Enter the information as it applies to your situation.
Pay attention to the questions as they start with 2019 information and then go into improvements from prior years. The information requested for the prior years will show you the year, Form 5695, and the applicable line number.
Thank you for your answer. Do I understand this correctly: our windows replacement was over $22,000 but we would only get a $200 credit. This is a lifetime max. However, there is a $500 maximum lifetime credit, so we could upgrade another feature (perhaps doors) to use up some of the remaining $500 maximum.
Correct?
Thank you!
Correct. This credit is worth a maximum of $500 for all years combined, from 2006 to its expiration. Of that combined $500 limit,