5 Ways To Save On Your Business Tax Return By Going Green
Making the decision to go green can benefit more than just the environment. It can also reduce your business tax bill thanks to the numerous incentives available to businesses who value the environment. Here are five ways you can save by going green.
Renewable Home Energy Systems
Although numerous environmental incentives are no longer available, there is one that is staying in effect until 2019. This incentive deals with renewable home energy systems and can cover 30 percent of the expense of running both solar heating systems and solar electric systems. This incentive is not limited to your primary residence unlike other incentives. Therefore, this is a wonderful way to save on your business returns.
Installing Systems and Hiring Veterans
The common efforts that bring about tax benefits include investing in solar and wind renewable energy, installing systems to conserve water and improving energy efficiency. Another way to save that you may not be aware of is hiring people for ecosystem restorations. If you hire veterans, you can be eligible for tax savings thanks to The Vow to Hire Heroes Act which came into effect in 2011. Often, veterans returning from war have valuable skills ideal for all weather conditions and climates.
Another way to save on your business tax return and go green is to make donations. There are tax benefits to donating old electronics. As long as it plugs into the wall and takes a battery, it will be accepted. If you find yourself getting rid of electronics not because they no longer work but simply because they are old, you can take advantage of this business tax benefit. The charitable benefit is available to companies who are nonprofit or others who work with nonprofits. If you donate electronics that are reusable, they will have a larger fair market value and you will get a larger tax break. If your total deductions are greater than $500, you have to fill out Form 8283 along with your tax return.
Another way to save it to focus on your energy usage. Both the US Department of Energy and the US Environmental Protection Agency offer tax breaks and incentives to taxpayers. Some Energy Star-qualified products provide tax breaks. It can also be beneficial to install a new thermostat. Although it may not provide a tax break, you can save significantly on your heating and cooling bill and be helping the environment as well.
There are numerous advantages to going green and one of them is saving money on your taxes. You can save on your business tax return by recycling electronics and even installing more energy efficient systems.