Need some help-- are you allowed to deduct expenses for making improvements to your home? My bf thinks so but I can't find any forms or publications for this when searching the IRS site.

Links to info are appreciated!

for certain energy efficient appliances, adding insulation, solar power, wind power, yes you can...if just changing doors and windows, don't think so...

this link should give you what you seek http://www.energystar.gov/index.cfm?c=tax_credits.tx_index

form 5695

you may be able to deduct for windows, doors, insulation and a few other things

doors and windows must meet some kind of energy criteria, the manufacturer should have info on their website

Dip - I would suggest going to a tax professional this year, especially given the fact that you bought a house. You're going to want every last credit and deduction that's out there.

^^^what she said..consult a professional

I would do them myself.......

Please forward all future questions to Triumph.

You could get a copy of Turbo Tax or whatever the latest Tax software is and try that. They pretty much walk you through the process, and I know many small CPA firms use them to double check their returns.

some car dealers are offering to do your taxes if you buy a car

go get them done for free and then tell them you'll get back to them on the car thing

also, hay is not a good substitute for good insulation

I'm doing them myself and already have more itemized deductions than I paid in federal taxes, and that's without the homebuyer's credit I'm bright enough to figure them out on my own and I enjoy the "puzzle." Plus, I'm not convinced that the money I coudl pay a professional woudl make up for any additional write-offs he could find. I'm single, no kids, no investment income, no home business...nothing crazy.

good for you, the forms, publications and instructions are all out there online to reference, that makes it relatively easy

Buy the tax prep software.

The last thing you want is the IRS to find an error....

Have been using H&R Kipplinger tax cut program for about 10 years now. Very helpful and the tutorials explain about anything you need.

Looks liek general heom improvements are NOT deductible btu do increase the basis of your home...
http://www.irs.gov/pub/irs-pdf/p530.pdf

Improvements. An improvement materially adds to the value of your home, considerably prolongs its useful life, or adapts it to new uses. You must add the cost of any improvements to the basis of your home. You cannot deduct these costs.

Improvements include putting a recreation room in your unfinished basement, adding another bathroom or bedroom, putting up a fence, putting in new plumbing or wiring, installing a new roof, and paving your driveway.

The link you gave is for preparing 2008 returns.

did you put in new windows, doors or insulation last year?

maybe she's still working on 2008 taxes

My home improved when my first wife left.

There are most likely state and city deductions for any 'greening' activities Dip...

Who will be doing your state and local taxes?

I replaced interior doors only (nothign special), painted, replaced old carpet with laminate, and other random improvements...nothign which saves on energy costs.

There wasn't an updated publication for 2009.

It doesn't sound like you have any eligible energy improvements young lady!

Again, don't sell because you can't take the lose against income!!!

IRS still hasn't made final decisions on what you can claim for Energy Efficient improvements. I dropped 10K on high dollar energy saver windows in '09, H&R Block's software still won't let you input form 5695 in their system. It was blocked until 1/22, as of last night it was blocked until 1/27. I'm (im)patiently waiting. Our CFO feels pretty confident I'll be able to claim the cost but we'll see.

Dip, a little off subject, but did you ever figure out what that smell was or did it go away?

I did, but the divorce took care of that.