Summary:
- Residential roof replacements aren’t tax deductible, but installing a roof on commercial or rental property may make you eligible for deductions. In some cases, you can even claim the entire cost during the first year.
- Commercial Roof Maxx treatments qualify as a tax-deductible expense, and you can claim the entire amount in the current tax year. This investment can help you save on taxes and maintenance, both now and for the life of your roof.
- If you reinforce or replace a roof to install solar panels, those costs may be tax-deductible under the Energy Policy Act. Energy-efficient shingles designed to enhance solar panel efficiency may also qualify.
- Other home improvements, such as adding rooms, decks, or installing a home office, can increase your property’s tax basis, which may lower your capital gains taxes when you sell. While energy-efficient appliances aren’t deductible, certain energy systems—including solar panels—qualify for credits worth up to 10% of their total cost.
Is a new roof tax deductible? It depends. A residential roof replacement is not tax deductible, because the federal government considers it to be a home improvement, which is not a tax deductible expense.
However, installing a new roof on a commercial property or rental property is eligible for a tax deduction. And in some cases, you can claim the entirety of those deductions the same year you pay for the roof.
Roof Maxx Tax Deductions for Commercial Roofs
If you’re looking for more ways to reduce commercial roofing expenses, Roof Maxx can help.
Most tax-deductible roofing expenses need to be amortized over several years. But the total cost of Roof Maxx treatment for commercial roofing can be deducted in the current year, allowing you to save big and earn a sizable tax credit while you’re at it.
Does a New Roof Count Toward a Tax Credit on a Solar Energy System?
According to the federal government’s Energy Policy Act of 2005, in some circumstances, either a new roof or certain roof repairs may count toward a tax credit on a solar energy system.
For example, if you need to reinforce or replace your roof in order to install solar panels, you can deduct those costs from taxes. You may also be able to get a deduction if you install new shingles that are designed to increase the efficiency of your solar panels.
What Home Improvements Can You Claim on Your Taxes?
Installing a new roof or solar panels are just two home improvements you can claim on your taxes. You can earn further tax deductions if you have a home office or rent out part of your house. You can also increase your tax basis, which is the amount you subtract from the sales price of your house, by making other home improvements, including:
- Adding a room
- Adding a bathroom
- Installing decks, fencing, or landscaping
- Kitchen upgrades
- Installing a pool
- Getting a new central AC
- Installing a home security system
Can You Deduct Energy Efficient Appliances on Taxes?
Did you recently buy an energy-efficient washing machine or dishwasher? Unfortunately, you cannot deduct these appliances from your taxes. However, you can get a tax credit for installing energy-efficient systems, such as solar panels, which power your appliances. This deduction is 10% of the total cost of improvements, worth up to $500.
Learn More About Roof Maxx Tax Deductions
Contact Roof Maxx for more details about commercial roofing and apartment rental property tax deductions. We can also help you enjoy greater savings by extending the life of your asphalt shingles with our all-natural roof treatment. Get in touch today to learn more.
