Insulation; installation; deduction; amount; filing of proof
Sec. 5. (a) For purposes of this section, "insulation" means any
material, commonly used in the building industry, which is installed
for the sole purpose of retarding the passage of heat energy into or
out of a building.
(b) A resident individual taxpayer is entitled to a deduction from
his adjusted gross income for a particular taxable year if, during that
taxable year, he installs in his residence new, but not replacement,
insulation, weather stripping, double pane windows, storm doors, or
storm windows. However, a taxpayer does not qualify for this
deduction unless the part of his residence in which he makes the
installation was constructed at least three (3) years before the taxable
year for which the deduction is claimed.
(c) The amount of the deduction to which a taxpayer is entitled in
a particular taxable year is the lesser of:
(1) the amount the taxpayer pays for labor and materials for the
installation that is made during the taxable year; or
(2) one thousand dollars ($1,000).
(d) To obtain the deduction provided by this section, the taxpayer
must file with the department proof of his costs for the installation
and a list of the persons or corporations who supplied labor or
materials for the installation.
As added by Acts 1978, P.L.37, SEC.2.
Last modified: May 28, 2006