7 Energy Tax Credits that May be Expiring this April
Author: LegalZoom Staff

What do home improvements have in common with hybrid cars, solar energy systems, and fuels cells this tax season? All of them are tax credits and deductions associated with The Energy Policy Act of 2005. Think of them as tax credits and deductions with a green twist. The good news is that there are four tax breaks that consumers (that's us regular folks) can take advantage of. The remaining three are for homebuilders, owners of commercial buildings, and manufacturers of energy efficient appliances, but indirectly affect consumers. Yes, you heard that right. Energy efficient improvements to your home or that brand new hybrid car you bought last year may just help you get one step closer to landing a big fat refund this year. But you'd better hurry because some of these tax credits and deductions must be taken before April 15th, the official deadline for filing your 2007 taxes. Here's a closer look at what's expired, what hasn't, and what you can get credits and deductions for this year. Say Goodbye to credits for Home Improvements Listen up homeowners. This tax credit expired on December 31, 2007 so if you made any energy savings improvements to your home in 2007, now is the time to speak up. Upgrades that qualify include insulation that reduces heat loss or makes your home cooler, exterior windows including skylights and storm windows, certain types of qualifying water heaters, heat pumps, and air conditioners. If you made any of these home improvements to your home, check out IRS Form 5695 for the specifics. Qualified Hybrid Cars to be Phased Out by 2010 In other words, some hybrid cars may qualify for the tax credit and some may not. And, while the tax credit has not expired per se, it will be phased out in the coming years. The rules are a little tricky so you need to pay attention to the IRS rules and depending on what car dealerships you hit this year you may have heard very different information. In a nutshell, starting January 1, 2006, each manufacturer received a credit for 15 months after selling their first 60,000 eligible vehicles. For example, Toyota™ hybrids only qualified for the tax credit up until October 1, 2007. Any Toyota Prius™ purchased after that no longer qualifies. So, if you bought a Prius before that date, congratulations, you will be receiving the credit. For many other car manufacturers, credits may even extend past December 31, 2010. That means, if you are in the market for a hybrid vehicle, check with your dealership, you could still qualify well after this April's tax season. Keep in mind that taxpayers only qualify if they meet certain conditions as defined by the IRS. Solar Energy Systems--It's Only a Matter of Time Tax credits, for 30% of the cost of the system, up to a maximum of $2,000, are available for qualified solar water heaters (that provide 50% of the energy for hot water), solar panels, and photovoltaic systems that provide electricity for your home. The catch is that they must be placed into service between January 1, 2006 and December 31, 2008. So, while this tax credit hasn't expired yet, the countdown is on. Fuel Cell Credit Bites the Dust If you're a hardcore proponent of alternative energy you might have decided to install a fuel cell system or microturbine power plant to generate electricity for your home in the past couple of years. If so, you're in luck--provided the system was placed "in service" between January 1, 2006 and December 31, 2007 and it has a capacity of at least 0.5 kW. This is another tax credit that expired on December 31, 2007 and it's now a matter of use it…or lose it. Homebuilders Have Until 2009 to Reap the Benefits Homebuilders can breathe a sigh of relief because this tax credit, which applies to eligible contractor who constructs a qualified new energy efficient home (and substantially completed by 2005) located in the United States and purchased as a residential property between December 31, 2005 and January 1, 2009, was extended for yet another year. Manufactured homes also qualify provided they meet the requirements. To qualify for the tax credit, the home must reduce heating and cooling energy consumption by 30 to 50 percent (depending on the type of home) when compared to homes built in accordance with the standards of the 2004 Supplement to the 2003 International Energy Conservation Code. The building envelope must have also undergone improvements to achieve heating and cooling levels that are 10% less than comparable homes. Energy Saving Improvements to Commercial Buildings Fear not proud owners of LEED certified commercial buildings, the government has not forgotten about you. Nor is it ignoring existing commercial buildings that have gone green by converting heating and cooling systems to more energy efficient ones. Again, systems placed in service after January 1, 2006 qualify for the tax deduction as long as at least 50% of the heating and cooling energy of the building is saved and meets the standards for energy efficient design in new buildings. Partial deductions can also be taken for certain other building systems such as the building envelope and lighting. Better get busy though because you only have until December 31, 2008. Energy Star Appliances are Going, Going, Gone Manufacturers of energy efficient appliances that meet ENERGY STAR's 2007 specifications such as dishwashers and clothes washers also get a tax break when filing their 2007 taxes. In addition, manufacturers of refrigerators, as long as they exceed 2001 federal energy conservation standards, also qualify. This tax break also bit the dust as of December 31, 2007. So for consumers and businesses alike, 2007 tax year may be the last chance you'll ever have to claim some of these credits and deductions. It's a win--win situation really, for you, the taxpayer, and the environment. Now get going with that paperwork!

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10 Tips for Beautiful Skin
By Leslie Barrie

Whether you live in Laguna Beach or Louisville, your skin is bound to get weathered over the winter months. Renowned dermatologist Dr. Tina Alster and St. Ives’ consulting dermatologist Dr. Marsha Gordon share their tips for fabulous winter skin. 1. Avoid Exfoliating. Even if you’re dying to get rid of dry, flaky skin, Dr. Alster suggests slowing down your exfoliating routine. “You may be making the problem worse by removing what few natural oils are left in your skin.” She says it’s simply better to moisturize and to leave the exfoliating to only once a month, which actually mimics the skin’s natural exfoliation process. 2. Combat Windburn. The minute you step outside on a blustery day, you’re going to have to battle windburn. The best way to avoid the pain (and look) of chapped skin is to cover up. Dr. Alster recommends first applying a heavier-than-normal moisturizer with petroleum to moisturize the skin, as well as to protect it from the wind. Then, both doctors agree you must cover your face with a scarf, or some other kind of shield. If windburn does occur, Alster recommends applying a soothing balm overnight, and by morning, you should show improvement. 3. Don’t Skip the Sunscreen. Although you may be tempted to leave your house sans sunscreen, it is just necessary to apply it in the winter as in the summer. Merely walking outside two to three minutes is enough to start the process that causes skin damage, says Dr. Gordon. And even though the burning UVB rays may not be in abundance in the winter, Dr. Alster notes that the aging UVA rays are still in full force! 4. The Heat Is On. Heaters can dry out your skin at night, which is why you may wake up with dryer skin than when you went to bed. Try doubling up on moisturizers before you hit the sheets, or, Dr. Gordon suggests purchasing a warmer comforter which will reduce your energy bills and help in the green effort. 5. Hand Sanitizer Solutions. Hand sanitizer are great for combating any pesky winter germs, but be aware of their drying effects, which can actually negate their purpose. “When the skin is dry, germs can enter through the microscopic cracks in your hands,” says Alster. If you are a frequent user of sanitizers, make sure you apply hand cream immediately after the gel has dried to keep hands soft and germ-free. 6. Opt for Cream. If you unwrapped a few dozen body cream sets this Christmas, put them to good use (for once!). Dr. Alster recommends creams over lotions in the winter because creams are thicker, hence more moisturizing. 7. Scalp Remedy. Luckily, scalp skin is not as prone to winter dryness as facial skin, but that does not mean you should ignore it entirely. Dr. Alster recommends using a non-drying shampoo, and then massaging your conditioner into your scalp with your fingertips to effectively moisturize before rinsing. 8. Spot Treatment. Even if you’re prone to oily skin, you can still get dry patches, which means you need a multi-dimensional plan of attack. Apply an extra rich moisturizer on the dry spots, and then, Dr. Gordon says to continue to control oil in the T-Zone with either blotting papers or an oil absorbing moisturizer. 9. Home Remedies. If you don’t want to run to your nearest beauty supply store to stalk up on winter creams, Dr. Gordon suggests using petroleum jelly as a moisturizing solution for extra dry patches like your elbows and knees, and even your lips. Petroleum jelly also can help keep unruly eyebrows in order, so it’s great to have around. Products designed for children work wonders on adults too, like Nature's Baby Organics Soothing Stick for chapped and dry skin. 10. Healthy Habits. Even just making sure to eat right and drink lots of water will help keep your skin looking great. “The skin is the largest organ, so the same things that make our bodies healthy will make our skin look healthy,” says Gordon. For most people, that means eating plenty of vegetables and fruits, moderate amounts of high quality and low fat protein and reducing or avoiding sugary sweets. Even in the winter you need to stay active, and of course, get enough sleep. “We all look better after a good night’s sleep – a fact we often forget,” says Gordon.

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