The new residential Small Wind Turbine Federal Tax Credit for Energy Efficiency is a large credit with many advantages.  The old tax credit was capped at $2,000.  With the new one one you can claim 30% of cost, up to $500 per .5 kW of power capacity, for a new system.  It expires 12/31/2016. This Federal tax credit works well when coupled with a state rebate program. Combine this with state rebates like those in California or New York and you have a sweeter deal. Moderate sized 10 kW wind power systems cost over $50,000.  The rebate has a nameplate capacity limit of no more than 100 kilowatts.

Existing homes & new construction qualify. Both principal residences and second homes qualify. Rentals do not qualify.

The Federal Tax Credits for Consumer Energy Efficiency reduces the amount of tax you owe. The credit is a reduction of total income tax at the bottom of your return. This tax credit is a non-refundable tax credit. Consult your tax adviser for details. Use it or lose it!

All Small Wind Turbines has a good list of most of the world’s small wind turbines. American Wind Energy Association has lots of information on Wind power.

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