New Federal Tax Credit for Small Wind Systems February 18, 2009

  The American Recovery and Investment Act of 2009, commonly known as the Obama stimulus package, has removed the $4,000 credit caps on the residential and business tax credits passed by Congress last October.  So, homeowners and businesses can now receive a full 30% federal tax credit when installing a small wind turbine.  The new tax credit will be available through 2016.  The stimulus bill also included attractive provisions to allow full use of both federal and state incentives, bonus depreciation, AMT relief, and DOE rebates in lieu of tax credits for businesses.

  This is a tax credit, not a deduction, so they will directly reduce the buyer's federal tax payment.  For a full description of the provisions please visit the American Wind Energy Association at
www.awea.org.  

  Additionally IRS forms and instructions regarding these credits are available at http://www.irs.gov/pub/irs-pdf/f5695.pdf