Solar Attic Fan

[thing68]

I am being told I get a 30% tax credit for the Solar Attic Fan we had installed and I can not figure out how to do this. 

The Federal tax credit for solar attic fans has been extended through 2021. The Solar Powered Attic Fan is eligible for a 30% (up to $1,500) credit on the purchase price of the fan, installation and sales tax.

[DawnC]

If you made energy-efficient improvements to your home like energy-saving roofs, windows, skylights, and doors, you'll be able to claim the Nonbusiness Energy Property Credit for 10% of amounts paid for qualified energy efficiency improvements, up to a lifetime cap of $500 or fixed dollar amounts ranging from $50 to $300 for the energy-efficient property, including furnaces, boilers, biomass stoves, heat pumps, water heaters, central air conditioners, and circulating fans.

Manufacturers must certify that their products meet new standards and they must provide a written statement to the taxpayer such as with the product packaging or in a printable format on the manufacturer’s website. Taxpayers should keep a copy of the manufacturer’s certification statement and receipts with their other important tax records.

Related Information:

• Where do I enter qualified energy-saving improvements?

[thing68]

Thank you.  I am confused to this as the company who installed it said we get a 30% tax credit not a fixed amount and so does everything else I read.  Sadly there is no phone help via the IRS.  I guess we lose out.  

[CatinaT1]

The tax credit for solar panel is non-refundable.

This means it is limited to your tax liability.

• If you end up with a bigger credit than you have income tax due—a $3,000 credit on a $2,500 tax bill, for instance—you can't use the credit to get money back from the IRS..
• Instead, generally, you can carry the credit over to the following tax year.
• However, it is not yet clear whether you can carry unused credits to years after the solar credit expires.

[thing68]

thank you.  Not sure what that means tho

[CatinaT1 · Accepted solution]

You do get the the 30% credit, but if the amount of the credit is more than your tax liability, you will not get to take the entire credit in the first year.

So if your credit is $1500, but your tax liability is only $500, you only get to take $500 of the $1500 this year and carry over the remaining $1000 to future years.

[thing68]

CatinaT

How would I file then?  I don't know what tax liability means, sorry.  We have 2 W2's and that is all.  We are getting a refund this year and would really like to also get this tax credit as we paid over $900.00 for the fan

Thank you!

[CatinaT1]

Claim the credit and TurboTax will carry over any amount from year to year until you use it.  To enter it, type Solar Credit in the Search Bar and then click the jump to link.

[thing68]

CatinaT

Ok thank you.  I will pay for turbo tax and see if I can figure out how to do it.  

[thing68]

CantinaT

Do I put this under Solar Electric Costs 

[JotikaT2]

Yes.

Go to the Federal section the input.

1. Select Deductions & Credits
2. Scroll through all tax breaks until you see the section titled Your Home. 
3. To the right of "Home Energy Credits", select revisit or start. 
4. Continue through the screens answering the questions and entering information as prompted. 

To see what your tax liability is, you can do the following:

1. In the black panel on the left, select Tax Tools
2. Then Select Tools below Tax Tools 
3. Under the Other helpful links section, select View Tax Summary
4. Review the line which says Total Tax.  If this amount is $0, then you have no tax to offset the credit with.   Any amount unused will be carried forward to your 2020 tax return and can be used to offset your taxes in 2020.

Once you are done reviewing this information, click "Back" on the black panel on the left to get back to the interview screens. 

[Savage 1]

I was wondering where you enter it in TurboTax. 

The only spots I have to enter are exterior doors exterior windows, metal or asphalt roof insulation material or system, energy efficient building property, advance main air circulatory fan used in natural gas propane or oil and furnace, and hot water boiler is powered by natural gas propane or oil

[DoninGA]

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@Savage 1 wrote:

I was wondering where you enter it in TurboTax. 

The only spots I have to enter are exterior doors exterior windows, metal or asphalt roof insulation material or system, energy efficient building property, advance main air circulatory fan used in natural gas propane or oil and furnace, and hot water boiler is powered by natural gas propane or oil

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Continue past that TurboTax page and you will come to the page to enter your Solar system costs.