HomeReplacementWindows.net

We replaced our home windows in 2008. Is this tax deductable at all?

It seems that, unlike previous years, window replacement can't be deducted in any way under home improvement or home repairs. Is this true? Or am I missing something?

Public Comments

1. You're not missing anything. There is no deduction or credit for energy efficient windows in 2008. There was in 2006 and 2007 and will be again for 2009.

   The only thing that you can do is to add the cost to the cost basis of your home. That will reduce the gain at sale time, and any tax if any is due at that time.



2. Improvement or repairs to a home in which you live were never something you could deduct.

   A deduction is allowed for repairs to a rental property that you are paid to allow someone else to occupy.

   If the windows needed replacement due to a casualty, you can deduct the casualty loss.

   An improvement to any real property, whether to property you occupy or to rental property, increases your "basis" in that property. This can be deducted from the selling price, if and when you eventually sell (or dispose of) the property (and calculate the capital gains tax), but not until then.



3. In 2006 and 2007, there was a small credit available if installed energy efficient windows. The credit was not available in 2008.

   Other than certain energy efficient improvements, home repairs and generally home improvements are not deductible and never have been.



4. The previous energy credit for new windows expired in 2007. The new one began January 1, 2009.

   Sorry, nothing for 2008.



5. It could never be "deducted." There was an energy tax credit for that in 2007 but not for 2008.