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Home Energy Credit for 2021 for A/C is not being calculated and credit as a credit

Forum|Forum|4 years ago
January 5, 2022
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I'm using turbo tax deluxe for 2021 taxes and when I fill in the information for Home Energy Credit given I purchased a new A/C for $7,500 I would expect a $300 credit and it says I get zero credit. I filled in $7,500 and $7,500 for cost and total cost and it's not new home construction and I have no carry over from 2020 form 5695. Do you think in passed in years I have maybe used up all of my $500 credits and that's why I seeing zero credit or is the $500 credit good for each year? Thanks

Best answer by ThomasM125

The non-business energy property credit is capped at $500 and that is for all years, not just the current year. So, if you took a credit of $500 in previous years, you will get no additional credit in 2021.

Also, not all energy-efficient improvements qualify for the credit. You need to have been provided a manufacturer's tax credit certification statement for your cooling system to qualify for an energy credit.

T

ThomasM125Answer

The non-business energy property credit is capped at $500 and that is for all years, not just the current year. So, if you took a credit of $500 in previous years, you will get no additional credit in 2021.

Also, not all energy-efficient improvements qualify for the credit. You need to have been provided a manufacturer's tax credit certification statement for your cooling system to qualify for an energy credit.

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