Question

Choose the correct statement:a. A taxayer may receive a 30-percent credit for installing energy-efficient window shades.b. A taxpayer may receive a 30-percent credit for installing a windmill, which generates electricity, at his vacation home.c. A taxpayer may receive a 30-percent credit for installing a solar water-heating panel for his swimming pool.d. A taxpayer may receive a 30-percent credit for the purchase of a plug-in electric vehicle

Answer 1

Answer:

c

Explanation:

Answer 2

Answer:

b. A taxpayer may receive a 30-percent credit for installing a windmill, which generates electricity, at his vacation home.

Explanation:

During 2019, a taxpayer may claim a 30% credit of qualified costs for small wind-energy property that serves a U.S. dwelling owned and used as a residence by the taxpayer. The home does not have to be the taxpayer's principal residence; second homes also qualify.

Note that choice (c) is incorrect because while solar energy property, like a solar water-heating system, also qualifies for a 30% federal tax credit, an exception applies to property for swimming pools or hot tubs.