Oklahoma Resumes State Energy Efficiency Tax Credit
June 18, 2012
Beginning July 1, 2012, Oklahoma will resume a state energy efficiency tax credit for home builders after a two year hiatus. The tax credit will provide a dollar-for-dollar incentive to home builders for eligible expenditures in the construction of houses.
Home builders will be able to take advantage of the $2,000 - $4000 tax credit if they are building houses, townhouses, or duplexes that are 2,000 square feet or less, or if the house is a manufactured home. Eligible energy efficient expenditures include:
· Energy efficient heating or cooling systems
· Energy-conserving windows
· Materials that reduce heat gain
· Certain roofing materials
· Certain Insulation materials.
Depending on the level of energy conservation, home builders will be eligible for a tax incentive between $2,000 and $4,000. Properties certified between 20% and 39% above the International Energy Conservation Code (IECC) of 2003 will be eligible for a $2,000 tax credit. The tax credit has a limit of $4,000 for homes that are 40% or above IECC.
The tax credit was originally suspended in 2010 along with other tax breaks, but is being reinstated to help spur economic growth. Homebuyers considering these homes are expected to save between $1,500 and $2,000 per year in energy costs. The hope is that these savings will be put back into the economy.
To learn more about the Oklahoma energy efficient home builders tax credits, read the NewsOK article.