Government Bailout: Key Energy Credits Extended

I know that the government bailout package, officially known as the "Emergency Economic and Stabilization Act of 2008" has been thought of as a welfare hand out to Wall Street, but to my surprise, some benefits for alternative energy have been tossed into the mix. Many of the "green pork" initiatives are going to directly benefit big business and start-up energy businesses, but there are a few wins for the little guy (or gal). Check them out:

• Credit for residential solar, wind and geothermal energy investments
• Tax credit for plug-in electric drive vehicles ($2500-$7500)
• Support for employers that support bike to work efforts of employees
• Tax credit for energy efficient improvements to home and commercial property
• Accelerated depreciation for recycling equipment
• Accelerated depreciation for smart electric meters and smart electric grid equipment

Want to see the full summary of the bailout? Click here. Check out this Gristmill post for more specific information about the pros and cons of the energy portions of the bill.

Please talk to a tax advisor to get more information about how these changes could impact your green efforts.