Go green on your taxes to save money and the planet

Tax breaks
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With tax season in full swing, everyone is seeing green.

But did you know that you can also go green on your tax bill, which could lead to some extra savings and thus, more green going into your pocket!

We’re breaking down all the green tax incentives below, courtesy of TurboTax.

Renewable Energy Incentives

Get a tax credit for renewable home energy systems! The Residential Energy Credit covers the cost of solar electric and solar water heating systems (not for swimming pools or hot tubs), mall wind-energy properties and geothermal heat pumps placed in service after December 31, 2016 and before January 1, 2020. It’s currently a 26% credit through 2022 before phasing down to 22% through the end of 2023 and expiring entirely after.

Save at the Pump

While many hybrid tax credits have expired, you can visit the Department of Energy’s fuel economy website to see if your vehicle qualifies for a tax break.

There is also still a tax credit available for new plug-in electric vehicles purchased after December 31, 2009 through  the Qualified Plug-In Electric Drive Motor Vehicle Credit. Make sure you meet all the criteria, and check the IRS website for an index of qualifying manufacturers.

Electronic Charitable Donations

You may be familiar with the idea of writing off charitable donations such as payments to a religious institution or donating old clothes, but you might be surprised to learn that electronic recycling also falls into this category.

If you donated any old electronics such as cellphones, computers, laptops, or game consoles to a qualifying nonprofit or company, you can write off your donation for the amount of their fair market value.

If less than $500, you don’t have to fill out forms, but if the donation of the goods is above $500, you have to fill out Form 8283.  And be sure to always request receipts for your files.

Convert to Energy Star 

The Energy Star program of the U.S. Environmental Protection Agency and the U.S. The Department of Energy helps taxpayers save money with green initiatives. And even if qualified products are no longer eligible for breaks, you can always save money as using less resources can lower energy bills.

Homeowners Energy Credit

Making your home an eco-friendly abode comes with some perks, as previously mentioned. And if you’ve been thinking about upgrading appliances and installing energy efficient items such as windows, doors, or water heaters, this is the last year for you to take advantage of up to $500 through the homeowners energy credit, expiring for 2022, per Wolters Kluwer.

For more ideas on how you can save the planet, visit 1Thing.

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