Super-Storm Sandy
If you incurred damage, destruction or loss of property resulting from Super-Storm Sandy, you may be entitled to an itemized tax deduction for casualty losses. The amount of the deduction is not based on what it cost to repair your home, rather it is based on the decrease in the fair market value of the property as a result of the storm; minus any insurance or other reimbursement received. Although repair costs are not considered deductible losses, the repair or clean-up expenses may help establish a decline in the FMV of your property, as long as the expenses are incurred to restore your property to its original condition.
Once you've determined the amount of your loss, you may be entitled to a deduction subject to the following limits:
Once you've determined the amount of your loss, you may be entitled to a deduction subject to the following limits:
- A $100 per casualty reduction for each event that causes the loss
- 10% of Adjusted Gross Income (AGI), applied after the $100 per casualty reduction.
Residential Energy Efficient Property Credit
This credit, has been extended through 2013 and allows taxpayers to claim a tax credit from residential energy efficient property placed in service. The credit is equal to 30% of the cost of the following property:
Keep in mind that this credit is limited as follows:
• A total combined credit limit of $500 for all tax years after 2005.
• A combined credit limit of $200 for windows for all tax years after 2005.
• A credit limit for residential energy property costs for 2012 of $50 for any advanced main air circulating fan; $150 for any qualified natural gas, propane, or oil furnace or hot water boiler; and $300 for any item of energy efficient building property.
- Solar energy systems
- Fuel Cells
- Small wind energy systems
- Geothermal heat pumps
Keep in mind that this credit is limited as follows:
• A total combined credit limit of $500 for all tax years after 2005.
• A combined credit limit of $200 for windows for all tax years after 2005.
• A credit limit for residential energy property costs for 2012 of $50 for any advanced main air circulating fan; $150 for any qualified natural gas, propane, or oil furnace or hot water boiler; and $300 for any item of energy efficient building property.