The American Recovery and Reinvestment Act of 2009 (the February stimulus bill) includes a number of energy provisions, including §1121 (the Residential Energy Property Credit), which increases the energy tax credit for homeowners making energy efficient improvements to their existing homes. It increases the credit rate to 30 percent of all qualifying improvements and raises the maximum credit limit to $1,500 for improvements placed in service in 2009 and 2010. 

You should be aware the credit applies to improvements such as adding insulation, energy efficient exterior windows, and energy efficient heating and air conditioning systems.The standard for “energy efficient” is higher than the standard for a similar (though smaller) credit available in 2007. IRS plans to issue guidance allowing manufacturers to certify their products meet the new standards, but until that guidance is issued, taxpayers may continue to rely on Energy Star labels in determining whether property purchased before June 1, 2009 qualifies for the credit.  See the IRS Fact sheet for details:

http://www.irs.gov/newsroom/article/0,,id=206871,00.html

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