Why sign in to the Community?

  • Submit a question
  • Check your notifications
Sign in to the Community or Sign in to TurboTax and start working on your taxes
New Member
posted Jun 6, 2019 1:13:49 AM

Last year I had 1400 in energy efficent windows that were installed, I was able to get credit for 500.00 max on 2016 income tax, can the other 900.00 be used as a carry

0 5 740
1 Best answer
Level 11
Jun 6, 2019 1:13:51 AM

In Feb. the president retroactively reinstated the Residential Energy Eff Tax credit.  You can not carryforward related expenses, you can carryforward the unused portion of the $500 credit.  Which means only 2017 expenses would be deductible against the unused portion of the energy credit. Do note the IRS still has not updated forms for this credit and TT can not until the IRS does.  This was one of many last minute tax changes.

5 Replies
Level 11
Jun 6, 2019 1:13:51 AM

In Feb. the president retroactively reinstated the Residential Energy Eff Tax credit.  You can not carryforward related expenses, you can carryforward the unused portion of the $500 credit.  Which means only 2017 expenses would be deductible against the unused portion of the energy credit. Do note the IRS still has not updated forms for this credit and TT can not until the IRS does.  This was one of many last minute tax changes.

Level 15
Jun 6, 2019 1:13:54 AM

The credit of $500 is the most that can be claimed for a Nonbusiness Energy Property Credit.  There are no carryovers for this credit if the entire credit of $500 has been used.

Alumni
Jun 6, 2019 1:13:55 AM

I think its a lifetime max also, isn't it?  Meaning you cant get it again for putting in more windows.

Level 15
Jun 6, 2019 1:13:56 AM

Yes, I read that as a lifetime maximum also.  As shown on the 5695 instructions (2016) - <a rel="nofollow" target="_blank" href="https://www.irs.gov/pub/irs-prior/i5695--2016.pdf">https://www.irs.gov/pub/irs-prior/i5695--2016.pdf</a>
- A total combined credit limit of $500 for all tax years after 2005.
- A combined credit limit of $200 for windows for all tax years after 2005.

Level 3
Aug 19, 2019 7:11:49 PM

To be clear, does that carry over from 2017 to 2018 also apply to the Nonbusiness Energy Property Credits? Another reply indicated no c/o at all? Specifically, I am finishing my 2017 tax return. I generated a $500 energy credit by installing doors, windows, insulation and skylights. I'm can only take $100 energy credit in 2017 and my lifetime remaining portion is $400. How do I carry that forward since the TurboTax program as written says I "have no credit to carry forward" (to 2018)? Thanks