Government Tax Deduction

2005 Energy Policy Act

 

In an effort to conserve the nation's energy resources, the U. S. Government passed the 2005 Energy Policy Act. This act represents numerous provisions beneficial for the economy and the public.

                                

                                      

What is the benefit to my business?

 

Energy efficiency is a national concern and the 2005 Energy Policy Act gives market-based incentives and solutions to reduce costs and enhance energy efficiency overall. By updating your lighting systems, you can reduce your overall lighting costs. Plus, you can display your commitment to environmental stewardship by using energy efficient fixtures which significantly reduces energy consumption.

                                  

 

Are there any tax incentives?

Yes, for commercial buildings. The 2005 Energy Policy Act provides accelerated tax deduction incentives for energy-efficient lighting upgrades completed from 2006 through 2011.

 

For lighting system upgrades, building owner deductions are applicable at a rate of $.30 to $.60 per square foot if energy density is 25% to 40% below ASHRAE/IESNA 90.1 watts per square foot levels.