Commercial Tax Credit Information

Commercial Tax Credit Information

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The Energy Policy Act (EPA) of 2005 provides building owners, property managers and architects with an incentive to make energy efficient upgrades to their building. There are three qualifying subsystems for the tax incentives and these are:

  • HVC
  • Building Envelope
  • Lighting system

These are each eligible for a $.60 per square feet tax reduction and where all three are implemented, that amounts to a $1.80 per square feet tax reduction. Which might not seem like a lot at first, but when energy efficient upgrades are made to a 100,000 square feet building, that is a potential tax deduction of $72,000.

In a case where the 50 percent threshold has not been met, there is a partial tax deduction provided for commercial buildings under the EPA of 2005.

The tax deductions provided under the EPA of 2005 are valid from January 1, 2006 through December 31, 2007. The Economy Stabilization Act of 2008 further extends the benefits of the EPA through December 31, 2013.

What this means is that in order for a building to qualify, it must be placed in service or retrofitted after December 31, 2005 and before January 1, 20014.

3M Sun Control Window Films are a qualifying product that can help you get a portion of this tax deduction. Please contact Window Film Depot for a complimentary feasibility study. Call 1-866-933-345