Deduction For Energy-Conserving Investment

A corporation may deduct a portion of the cost of a capital investment in a building that promotes energy conservation. If the building is a residence, the taxpayer may deduct up to $1,800; if the building is non-residential, the deduction may be up to $3,600. Energy conservation is defined as reducing the waste or dissipation of energy or reducing the amount of energy required to accomplish a given quantity of work. New construction must surpass established standards of new construction to be eligible for this deduction.