Talking About Green

Living to be more environmentally aware, or living green, can have so many benefits to your life and saving money is another reason (of course!). If you can achieve living green effectively and efficiently, you will be able to reap more rewards, such as when you are preparing for your taxes.

If you are not yet aware, going green with your household items, such as with fixtures and other items, you will be able to get a rebate on your taxes. On the overall average, the credit you can claim is about 30% of the cost of your purchase. So, if you spent $10,000 for green products, you will be able to get $3,000 in returns.

Here are just some of the items that can be included in the credit:

1. Storm windows and doors
2. Wood burning stoves
3. Central air conditioners
4. Natural gas, propane, oil or electric water heaters, furnaces and boilers.
5. Solar water heaters and solar panels
6. Wind generators.
7. Insulation, house wrap

These items will reduce the total amount of energy that is needed in a household by creating your own energy, or by reducing energy that is needed individually for different appliances in the home. For example, solar water heaters would reduce the need for a water heater. Home insulation would reduce the need for air conditioning during the summer and heating during the winter.

If you’re building new homes, you can enjoy a credit of about $2,000 per energy efficient home that you put up in the year.

Even vehicles are included in this benefit, giving you up to $7,500 on the reduction, dependant on the type of vehicle that you own. Hybrid cars can get credits of up to $3,400, and those vehicles that use solar power, all-electric type are qualified for up to $7,500.

So far, we have just mentioned those that are beneficial to a household. There is more to come when it comes to business.

If you are in a company that is endorsing a more green way of living, you will be able to enjoy certain benefits such as a business energy reduction tax credit, appliance tax credit for manufacturers of energy efficient appliances or a fantastic tax credit plan for those who are in the industry of building homes and offices that are environmental friendly.

States will also get to enjoy some tax benefits. Many states are inviting renewable energy companies to set up business in their home state, because of the many benefits that it can have for its community and state. Some states also take the extra mile to reward those who are producing energy saving equipment, but charging no sales tax, or rewarding bonuses that will encourage the people to lean towards using more energy awareness products.

There are many websites that are growing online just to give you more information about what else you can benefit from when you decide to go green. But the kicker here is actually making your tax-filing green! What? Yep. By using Efile taxes, you are reducing paper waste. Plus, the massive power that’s used in tax firm buildings reduced. Just think of the energy saved for every hundred or thousands of people who choose to file online.

Veronica Davis is a freelance writer and internet business columnist. She often writes about personal finance and green living across a number of websites and publications. She recommends using Efile taxes vs. traditional tax filing come this tax season.