Client called me regarding purchasing an air conditioner. The seller said he can get a credit against his "earned income." I don't know much about this new law. My client is retired and has no "earned income" but rather pensions and interest earned, etc. He does have a tax liability each year. Do you think the seller is using the incorrect term?
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Yes. It is a tax credit, not an earned income credit. But I am not sure an air conditioner will qualify. -
From PL 111-5
(1) ELECTRIC HEAT PUMPS.—Subparagraph (B) of section
25C(d)(3) is amended to read as follows:
‘‘(B) an electric heat pump which achieves the highest
efficiency tier established by the Consortium for Energy
Efficiency, as in effect on January 1, 2009.’’.
(2) CENTRAL AIR CONDITIONERS.—Subparagraph (C) of section
25C(d)(3) is amended by striking ‘‘2006’’ and inserting
‘‘2009’’.Comment
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Energy credit
check this site for information on all items that qualify for the tax credit. Many air conditioners qualify if their rating is high enough.
AJ, EAComment
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Great resource and I have printed it. Note it refers to central air systems, and I was assuming OP was talking about an individual unit like a window a/c.Comment
Comment