How to Save Money on Business Taxes
It’s never too early to start thinking about tax season and saving money on what you pay to Uncle Sam. One way many companies get a break on their business tax bill is to look at green energy options. Not only can you get tax deductions and credits, you reduce your carbon footprint and save money on your utility costs when you go green.
Solar Tax Credits
Business owners can deduct solar array installation costs off their federal taxes. Many states offer even more savings on property taxes and state taxes for installing solar panels. You can lower your utility costs by generating, storing and even selling back excess energy to the utility company. Geothermal power, wind power, turbines and other alternative energy resources may also bring in tax savings.
Electric Vehicle Credit
Federal tax credits can bring in up to $7,500, depending on the type of vehicle. If you need to operate a fleet, it’s definitely worth checking into electric vehicles. Some states and municipalities offer incentives, too.
Recycle for Business Tax Credits
Electronics that are outdated in the business world are usually still good enough to be used in other sectors. Donate used electronics to non-profits and get a charitable contribution that is tax deductible. Keep good records about what was donated. Assign a fair market value to the item to get your credit.
Use Energy Star Products
The Energy Star program has a small business network that helps your business improve your financial performance while reducing your energy costs. You can get tips and technical support through the network to find business tax credits and other savings specific to your industry. It doesn’t matter whether you lease or own your property.
Small Turbine Credit
Business tax credits and deductions change every year. Check with your tax specialist to get the maximum credits. Contact Allegiant Commercial Experts about financing options to fund your upgrades.