Residential Energy Credits

[NotEasy]

Should we require our client to show us prove that the windows or doors that they installed fulfill the requirement for the Residential Energy Credits? They always tell you that the salesman told them their windows qualify for the credits. I find it uncomfortable to just take their words and go ahead claim the credits? Is there any document or certificate that we can ask for in order to make sure that the windows really meet the requirements?

[AJsTax]

Yes, every time.

There are so many energy star windows that do not meet the requirements for the credit that I ask for proof every time. about half are turned down for failure to meet requirements. the statements of qualifiaction can be found on the website for every manufacturer. You just need the exact model of the window. good luck with that. If only they all saved the stickers that were on the window. And to get some of the contractors to split out the labor is getting down right nasty.
It is so easy to get the real info on what qualifies by going to energystar.gov and clicking on the 1040 window in the bottom left.
good luck

[Gary2]

Where does your responsibility start and where does it end? Do you ask to see receipts for all deductions? Do you insist on seeing a statement or canceled checks for daycare credits? Birth certificates to be sure that a child is really their child and not a cousins? If someone wants to use their refund in Feb. to make their IRA contribution for that same tax year, do you refuse to file or insist on having the IRA do direct deposit into the IRA?

It's one thing to either help the clients look it up or insist on the certification if the clients aren't sure. It's another to insist on seeing the certification if they tell you that they spent an extra $1K to make sure they got the windows that qualified.

[Gene V]

I never have to ask to see the certificate, 9 out of 10 client hand the certificate over with the invoice and tell me that they get the credit. All I have to do is verify it.

[S T]

Rarely have

I rarely have the certificate and have to ask the t/p for the contract and mfg - model, etc.
Just had one t/p thought she qualified, sent me the contractors work order, and then I asked for the mfg # - model, etc - t/p was under the impression she would qualify,

T/p went back to the contractor, then the contractor told her "NO" not qualified - but it seems that IS NOT what contractor told her when he "sold" her the job.

So guess sometimes we do have to perform some due diligence for these credits.

Sandy

[geekgirldany]

I've been asking for a certificate. Most of the time they give me the receipt. I've had several that bought new appliances saying the salesperson once again told them they would get a tax write off. One person bought a $1,600 refrigerator thinking they would get a $1,500 credit.

[veritas]

had a client tell me his roof qualified.

Told him I needed the Mfg certificate.

He called the company and guess what?

The roof does not qualify. I find its better when someone else tells them it doesn't qualify.

[oceanlovin'ea]

have them check

Most of the time my clients have already done their checking and have their proof that the purchase qualifies.

One lady said they had bought windows from a company online and those windows did qualify but then he had to go to HD or Lowes for more screen and made another window he was lacking. That didn't qualify. But I had her check on it.

Several called when they were thinking about doing some work and asked about the credit. I told them what they would have to have so they made sure they had the proof.

Linda, EA

[tpnl]

I don't require proof

But I do tell them to stick their receipts/certificates in with their tax papers should the IRS require proof. I make a notation in the file that I explained this to cover me should the IRS actually require proof. However, most clients submit the receipt along with certification when they give me their tax papers.

[Gretel]

Half of my clients bring receipts and certification. I do not insist on seeing the certification but tell them they need to make sure they have it on file. After THEY check the internet or with the seller it either turns out their purchase does not qualify or they bring in the certification anyway.