Many individuals confuse the 179D tax deduction and call it the 179D tax credit. The differences between a reduction and a credit are great, but both are a great benefit. A discount might be less money when compared to a credit, but may cause increased savings <a href=“http://www.walkerreid.com/”>walker reid strategies</a> .

President Bush signed the Energy Policy Act back in 2005, making a tax deduction for organizations that use energy efficient materials and equipment in their structures. The reduction is between $0.30 and $1.80 per square foot, depending on the range of the buildingsa energy efficiency savings.

Both new and existing commercial buildings can get the total reductions by reducing their annual power costs by 50%, in accordance with the minimum requirements in the ASHRAE 90.1-2001. The kinds of these energy savings consist of:

1.Building envelope; 2.HVAC systems; 3.Lighting; 4.Hot water systems.

To really get your deductions or a179D tax credita you must use an IRS certified professional contractor to check the building and its systems and complete the necessary documents. The paperwork is properly done, and once your building or buildings have been approved, you will receive the benefits <a href=“http://www.walkerreid.com/179d-tax-deduction/about-179d-tax-deduction”>epact 179d</a> .

It is easy to confuse a reduction using a credit. The differences are a deduction lowers the taxable income while a credit is really a dollar amount taken from taxes owed. Both benefit your bottom line, and utilizing the 179D tax reduction can help the ongoing future of our environment.

You will also notice the savings in-your annually power costs. The numerous benefits of making your organization energy efficient are endless. Putting money in to the building can be hard to swallow, but just remember the economic result for many years ahead.

You are no accountant, therefore if you got the reduction mixed up with a credit donat worry. Your CPA will understand what youare talking about when you say you need to make the most of the 179D tax credit <a href=“http://www.walkerreid.com/”>section 179 expense deduction</a> .Walker Reid Strategies, Inc. 4617 10th Avenue North Lake Worth, FL 33463 Phone: 800-662-1793