Whether you are purchasing the first home of yours or just renovating inside your current house, adding the roof of your choice could be a wise investment. When you make use of the tax breaks available for home improvements and home improvements, you can save money on taxes as you add a new roof on your home.
A new Roof Installation in West Athens can be stressful and challenging. It is essential to hire a professional in order to get a perfect new Roof Installation in West Athens! SoCal Green can assist you with your roof maintenance and installations.
ENERGY STAR certified asphalt and metal roofs
ENERGY STAR certified asphalt and metal roofs can be tax-deductible payments. Roofing materials that meet Energy Star standards may qualify for a federal 10 percent tax rebate on cost of replacement. For example, if your roofing materials cost $3,500 then you could receive 300 dollars in tax credit, bringing your investment to $3,150.
In order for the tax credit credit to be credited for, you must have installed your new roof by the end of your tax-year. You must also include a Manufacturer Certification Statement with your IRS Form 5695.
Metal and asphalt roofs that are Energy Star certified and have pigmented coatings are eligible for tax credits. The coatings lower temperatures on the roof surface, thereby decreasing energy consumption.
They also reflect more sun’s rays and reduce the demand for cooling by as much as 15 percent. They also decrease the amount of cooling required in buildings.
ENERGY STAR certified roofing materials have been independently evaluated and certified to help you save money. They also reduce the temperature of your roof by as much as 100 degrees Fahrenheit, which reduces heat entering the home.
Reflective roofs lower the temperature of your roof and enhance the comfort of your home
Using a reflective roof to raise the temperature of your home is one method to increase the comfort of your home, reduce energy costs and decrease your carbon footprint. However, if you’re trying to figure out the most efficient method to go with it, you’ll need to determine what type of reflective roofs is best for you.
Choosing the right material is an important factor in the selection of the perfect cool roof. There are a variety of options that range from concrete and clay tiles to asphalt shingles. There are also a variety of coatings that provide reflective properties to your roof. If you’re in search of the most reflective roof, a low-sloped shingled roof should be your first option.
The most important thing to remember when choosing an attractive roof is to make sure it’s made of materials that are environmentally friendly. If you’re thinking of installing the roof of your dreams, look into products like insulation roofing tiles or cool roofing materials.
Home office improvements are tax deductible
Despite the name the term “home office” can actually be anywhere in your house. A dedicated area located in your basement a corner in the living room, or even a kitchen table can qualify.
A home office deduction of the standard type is available for taxpayers who qualify. The deduction is based on the proportion of the square footage of your house actually functions as an office at home. This can also include the cost of improvements to your house. For example, if you are using about 30% of your house as a workplace it is possible to deduct approximately 30% of the expense of enhancing the space.
The IRS recently announced the simplified home office deduction that lets you claim a deduction of $1500 for your home office. It’s not as thorough as the standard deduction, and you don’t have to create meticulous documents in order to claim it.
The most important thing to keep in mind when you are taking the home office deduction is that you have to be self-employed. Most of the time it’s not available to employees. If you’re a self-employed plumber , or accountant, though it’s possible to claim the cost.
Capital gains when you decide to sell a house
Those who sell a home can enjoy an exemption from tax on capital gains of $250,000 for single filers or $500,000 for a couple who are married. The amount of the gains is determined by amount you offered to sell the home and your cost basis. The basis of your home is the initial cost of purchase for the property that includes sales expenses. If you are able to make improvements in the house, for example, installing a new roof or finishing the basement, you can increase your adjusted cost basis, which will lower the capital gain you earn when you decide to sell your house.
As an example, Miles purchases a home for $380,000. He then spends $10,000 on a kitchen renovation after which he spends $10,000 on an addition to the bedroom. The home is purchased on an adjusted cost basis of $300,000. If Miles decides to sell the home then removes his adjusted cost basis of the sale price. He doesn’t have to pay capital gains taxes because the cost basis has been reduced to $250,000.
To be eligible to be exempt from capital gains, your home must be principal residence during two of the past five years. You may also qualify for a portion of the exclusion if the home was utilized for a significant period of time to serve a purpose that was not your primary residence.