2012 Insulation Tax Credit: What You Need To Know • ASAP Roofing 2012 Insulation Tax Credit: What You Need To Know • ASAP Roofing
On February 13, 2013

2012 Insulation Tax Credit: What You Need To Know

It’s tax season again, and while ASAP ROOFING has been very busy attending to the needs of customers with damage from last year’s hail storms, they also recognize that many people have questions regarding what, if any, part of their home repairs are tax deductible.


According to the Energy Star website, insulation, roofs, water heaters, biomass stoves, windows and doors, and heating and air conditioning systems are all deductible. When it comes to insulations, here is what Energy Star had to say:




Tax Credit Amount: 10% of the cost, up to $500


Typical bulk insulation products can qualify, such as batts, rolls, blow-in fibers, rigid boards, expanding spray, and pour-in-place.

Products that air seal (reduce air leaks) can also qualify, as long as they come with a Manufacturers Certification Statement, including:

  • Weather stripping
  • Spray foam in a can, designed to air seal
  • Caulk designed to air seal
  • House wrap


Beyond applying for the tax credit, however, Energy Star recommends sealing and insulating the “envelope” or “shell” of your home — its outer walls, ceiling, windows, doors, and floors, and that doing so can save a homeowner as much as 20% on energy bills. To Seal and Insulate, ENERGY STAR recommends three things: sealing leaks, adding insulations and sealing ducts.


In terms of the type of insulation advised, the important component is the R-value — or the ability of insulation to resist heat flow. While higher R-values mean more insulating power, and different R-values are recommended for different areas of the home such as walls, attics, basements and crawlspaces, typical recommended R-values for Denver, Colorado range from .39-.48.


So as long as the R-value is within this range, and the insulation product meets the criteria listed above, you are ready to claim your insulation tax credit. The next step is to file your taxes.


The following excerpt from the Energy Star website will walk you through the process:


For products placed in service” in 2012, you need to file the 2012 version of IRS Form 5695 and submit it with your 2012 taxes (by April 15, 2013).


On the 1040 form you enter this tax credit from Form 5695 (the residential energy tax credit) on line 52.


Save your receipts and the Manufacturer’s Certification Statement for your records.


Submit Form 5695 with your 2012 taxes.



As always, ASAP ROOFING is here to not only assist you in restoring your roof, but also  installing the best quality insulation that meets the Energy Star criteria to ensure that you get your 2012 home insulation tax credit. For more information about ASAP ROOFING, just visit www.asaproofing.com

Written by Nick Dorotik



Nick Dorotik is the Vice President of ASAP Roofing, and manages the sales and marketing. You can find him on Google+ and twitter.


For more information about ASAP ROOFING, visit http://asaproofing.com/





  • By kirk  2 Comments 

    Posted by Bo Hamby on
    • Mar 6 2013
    Without the tax benefits, the return on investment for insulation makes sense. With the tax incentive, IT'S A NO BRAINER!!!
      Posted by admin on
      • Mar 6 2013
      Sure makes it a lot easier to reinvest into your home!

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