| Many people have heard of tax credits for energy | | | | should not need any tax credit to encourage us to |
| efficient purchases. The good news is they extend | | | | save money and the more Energy Star appliances on |
| to appliances as well. You can get a tax rebate and | | | | the market, the better for us. |
| save money on your utility bill. | | | | The second way that individuals stand to benefit |
| A tax credit is a very valuable thing and is much | | | | from tax breaks to the manufacturers is that by |
| better than a tax deduction. A tax credit comes | | | | making their profitability higher, it encourages them to |
| directly off the amount of taxes due rather than | | | | produce better products and still have the ability to |
| reducing your taxable income. The United States has | | | | offer them at more competitive prices. It is said that |
| recently approved some tax credits for the purchase | | | | every appliance has two price tags. The first is the |
| of energy efficient homes and products. For the | | | | one we pay at the point of purchase and the second |
| most part, these products are air conditioning and | | | | is the cost of operating the appliance during its |
| heating units and solar energy products. The tax | | | | lifetime. In a perfect world, everyone would |
| credits for appliances are available for the | | | | understand this and refuse to settle for an energy |
| manufacturers of washing machines, dryers, and | | | | inefficient product despite its lower initial cost. We do |
| refrigerators. | | | | not live in a perfect world, however, and too many |
| In order to qualify for tax credits, the manufacturer | | | | people make their buying decisions based only on |
| must be making washing machines or dryers that | | | | that first price tag. |
| conform to 2007 Energy Star specifications. | | | | Also, do not forget the individual tax credits on |
| Refrigerators must exceed the 2001 energy | | | | heating and air conditioning units. These credits can |
| conservation standards. This might come as a | | | | be applied to individual tax returns and go up to $300 |
| disappointment to the individual tax payer, but it | | | | for certain approved units. People may be |
| really should not. The taxpayer stands to benefit | | | | disappointed that their new Energy Star approved |
| from this tax break policy to manufacturers in two | | | | washer and dryer does not help reduce their income |
| different ways. | | | | tax when April rolls around, but this is an extremely |
| First, by giving tax breaks to the manufacturers, it | | | | selfish point of view. The government sponsored |
| encourages them to meet Energy Star standards in | | | | Energy Star program already is working to save us |
| order to qualify for them. In the long run, the | | | | money on energy costs and each of us has a stake |
| consumer is the one who is benefiting from the | | | | in the environmental concerns too. It should not be |
| Energy Star standards being met in major appliances. | | | | necessary to bribe us via tax credits to make sound |
| The rising cost of energy and the environmental | | | | financial and environmental decisions when shopping |
| concerns of high energy consumption are problems | | | | for a major appliance. |
| that touch every individual consumer. We really | | | | |