The beginning of a new year means a lot of different things: fresh starts, new goals, and, of course, tax season. It’s a phrase that has most people cringing to think about and accountants preparing for long hours and a lot of math. Whether you’re expecting a tax return or not, electrical updates can be a smart tax-related investment.
If you are expecting a tax return, there are a few benefits you’ll receive from reinvesting that money into your home.
An update will make your home safer and more efficient. Plus, you’ll save money in the long-run. Your energy bill will be reduced and you can rest easier knowing your home is safe. Upgrades to electrical panels and kitchen lighting is a great place to start. Aside from that, home upgrades are tax deductible so you can work that into next year’s taxes!
Any upgrades are also going to improve your resale value should you decide to sell your home. This is particularly true if you upgrade to energy efficient options. The major thing to keep in mind is that there is a difference between repairs and upgrades.
Tax deductions are another reason investing in an electrical upgrade is a great idea, even if you’re not receiving a tax return. If you remodel a room or update to energy efficient options, you can add the cost of the expense to the base price of your home. If you run a business from home, these changes can also be write offs from a business stand-point.
Contact Nies Electric to learn more about electrical updates!