This will be interesting....In 2020 we decided to install energy efficient windows in our home. During the inspection, the company said the window frames were in great shape and they could install the Low-E energy efficient window PANES which would save us a little money. This they did. Question...Is the entire window (including frame) the only way to claim the energy deduction for 2020 or can I claim the cost of just the window panes? Thanks!
The IRS talks about 'windows'
definition of a window: "an opening in the wall or roof of a building or vehicle that is fitted with glass or other transparent material in a frame to admit light or air and allow people to see out."
to me, a frame is not a window; a glass pane is a window.
A. In 2018, 2019 and 2020, an individual may claim a credit for (1) 10 percent of the cost of qualified energy efficiency improvements and (2) the amount of the residential energy property expenditures paid or incurred by the taxpayer during the taxable year (subject to the overall credit limit of $500).
Qualified energy efficiency improvements include the following qualifying products:
windows
, doors and skylights
ps: it's not a "deduction" - it is a credit for 10% of the material costs; not labor...not to exceed $2000 (i.e. a $200 credit).
I would say that the work qualifies. However, you must be aware of:
I forgot to take this credit in 2020. Can I take it as a carryforward for 2021 or would I need to file an amended return for 2020?
@Priorehkj wrote:
I forgot to take this credit in 2020. Can I take it as a carryforward for 2021 or would I need to file an amended return for 2020?
You would need to amend the 2020 tax return.