Are there tax subsidies for green initiatives other than solar panels?

November 15, 2013
I'm interested in making my house more environmentally sustainable, but solar panels are just too expensive. I already drive a bio-diesel car, and I'm thinking of installing a rain catching system & I live in AZ, where water scarcity is often a key issue. I'm curious as to whether there are any federal programs to incentive particular...

Advisor answers

Brian D. Gawthrop

Brian D. Gawthrop

CFP®, AIF®, QPFC

Kudos to you for doing your part to protect our environment! But, it is always nice to get back some green for protecting green. There are a bunch of tax incentives available, primarily thanks to the Energy Incentives for Individuals in the American Recovery and Reinvestment Act, but I would encourage you to discuss them with your tax advisor before making any major decisions to make sure that they will qualify.

Tax credit, in my opinion, is even better than a tax deduction. A tax deduction is something that reduces how much...