Due to the Tax Relief Act of 2010, the tax credit for residential energy efficiency improvements has been amended and extended through December 31, 2011. This means that tax credits for energy efficiency improvements to the building envelope and energy efficient heating, cooling and water-heating equipment of existing homes are still available. The credits apply to only U.S. taxpayer homes used for their primary residence. These credits can be applied for the following items:

Ever since the federal income tax was introduced in 1913, the government has used the tax code to encourage homeownership. Now, as a result of the effort to reduce the federal deficit, the mortgage interest deduction is under fire. Proposed changes to the tax code would have a dramatic impact on home owners and would significantly reduce the value of this deduction.

With the popularity of renewable energy and going green, many companies these days are looking for ways to offset their carbon emissions. From this demand multiple voluntary producers of renewable energy have emerged to sell their carbon offsets in the unregulated renewable energy market. Thankfully, various independent organizations are here to help consumers know which green power products actually come from certified renewable energy sources.

Federal tax credits are in effect for 2009 and 2010. The purchase of a new central air conditioner may qualify for a credit. It must be installed in your principal residence between January 1, 2009 and December 31, 2010. The unit may qualify for a tax credit of up to 30% of the cost (including installation/labor costs), up to $1,500 for 2009 and 2010 combined. Tax credits are available in 2010 (ONLY for existing homes, NOT new construction, which is your principal residence).

Insulation is generally one of the easiest improvements to implement and in colder climates provides a real ROI within a short time. Typical bulk insulation products can qualify, such as batts, rolls, blow-in fibers, rigid boards, expanding spray and pour-in-place. Products that air seal (reduce air leaks) can also qualify, as long as they come with a Manufacturer's Certification Statement. These products include weather stripping, spray foam in a can, caulk and house wrap.

These days energy conservation has become a common topic. So what is energy efficiency?  Simply put, energy is the ability to do work.  Ideally, people want to do less work but with greater yield.  Energy efficiency deals with using less energy for the same amount of output.  For the homeowner, this is lowered utility bills with the same comfort in their home. Fossil fuels are among the most commonly utilized energy sources in the United States.

Composting is a way that you can not only help your vegetable garden, but the environment as well. It’s a natural solution to help reduce the amount of garbage that you throw away while reducing the need for toxic and harmful substances that you may add to your plants.

Even if you purchase multiple products, you may only receive a maximum of $1,500 in federal tax credits over the 2-year period (2009 & 2010). Basically, you can get back 30% on a single or multiple qualifying purchase(s) of up to $5,000 as a tax credit during this 2-year period. Products must be for your principal residence that you own and live in. If you receive the entire $1,500 credit in 2009, then you will not qualify for an additional credit in 2010.

The tax credit for windows, doors and skylights is in effect for 2009 and 2010. The upgrade must be installed in your "principal residence" between January 1, 2009 and December 31, 2010. The credit will apply to 30% of the cost (not including installation/labor costs), up to $1,500. As always, consult with your CPA or accountant for specific details related to any tax program.

The House of Representatives has passed H.R. 5019, the Home Star Energy Retrofit Act of 2010. If this legislation passes the Senate, it will incentivize home energy retrofits and will directly address the need for jobs by increasing employment in construction and related sectors.

Home Star is a short-term program to create jobs, save energy and lower families' energy bills.