Propane Tips: 2009 Stimulus Tax Incentives – PT 7

Have you been waiting for the right time to upgrade to propane appliances, install a new furnace, or propane water heater?

Whether you’ve heard about it in the news or not, now is the time to pay attention to some federal legislation that can bring savings to your family budget plus help you live better with clean, efficient propane.

The federal stimulus bill, or as its known by its formal title, the American Recovery and Reinvestment Act of 2009, is legislation that has been passed to help our economy recover in these economic times.

Buried within this massive 407 page document are some real gems – basic facts that are important to anyone who would like to benefit from the progressive tax incentives brought forth by this legislation.

If you’ve been putting off upgrading to a propane powered household now is the time to act. The legislation has a window of opportunity and if you replace those old energy draining appliances with super-efficient and clean propane appliances you’ll save money at both the time of purchase and also every month when you pay your energy bills.

Here’s why now is the time to act. The federal stimulus bill allows a 30 percent federal tax credit for homeowners who purchase new clean burning propane appliances that meet federal requirements.

There are a few important facts regarding eligibility for the 30 percent tax incentives:

- Your new appliances must be placed into services between January 1st, 2009 and December 31st, 2010.

- The upgraded appliances must be installed in the tax payers principal residence.

- The maximum amount that can be claimed for all products placed into service is $1500.00

- The $1,500 can be applied toward either equipment, labor, or materials

There are even more opportunities. You may be able to find more benefits via state incentive programs and propane organizational rebate programs. The stimulus bill also brings $300 million in new incentive money to the table. Research your local area since some homeowners will effectively qualify for two or more incentives on their electric to propane appliance switch overs.

How about first-time home buyers? Are there any special incentives for them? Yes, the federal stimulus bill has built in provisions that can help you get more home for the dollar via an $8000 tax credit available.

All a first-time home buyer need do is make the smart choice and purchase a home built with energy efficient propane appliances, furnances, or highly efficient propane water heaters and you can take advantage of the $8,000 tax credit.

Remember, the bill presents a limited window of opportunity; the cutoff date is December 31st, 2010!