Tips, tools and information for Texans to reduce their energy use and save money!
| About Us |  |
Energy Efficiency Overview | |
Newsroom | |
Texas Electric Market | |
Contact Us |
|
|
|
|
2010 Energy Star Holiday
| |||
| “It’s a great deal for consumers who will not only save at the register, but also at home, where they’ll see the benefits returned in energy savings on their utility bills,” Texas Comptroller Susan Combs said. “Texas benefits from conserving energy and natural resources.” |
Consumers who have delayed buying a new, energy-efficient air conditioner, dishwasher or other major appliance may want to consider making a purchase over Memorial Day weekend, when Texans have the opportunity to cash in not once, but twice, on energy efficient products.
During the three-day tax holiday, which begins at 12:01 a.m. on Saturday, May 29, and ends at 11:59 p.m. on Monday, May 31 (Memorial Day), Texas shoppers get a break from state and local sales taxes when they purchase certain energy-efficient appliances and other household equipment bearing an Energy Star label. Shoppers can expect to save about $3 million overall in state and local sales taxes during the event, which is patterned after the annual Sales Tax Holiday on clothing and shoes in mid-August.
The Holiday applies only to the following appliances and household equipment: air conditioners priced less than $6,000, refrigerators priced less than $2,000, ceiling fans, incandescent and fluorescent light bulbs, clothes washers, dishwashers, dehumidifiers and programmable thermostats, along with installation and delivery charges for these products.
More information about the tax holiday is below and on the Comptroller’s Web site. More information about Energy Star products can be found at www.energystar.gov.
The sales tax holiday exemption applies only to sales of qualifying Energy Star rated products made during the period beginning at 12:01 a.m. on the Saturday preceding the last Monday in May (Memorial Day) and ending at 11:59 p.m. on the last Monday in May. Customers who purchase eligible items before or after the designated sales tax holiday period cannot receive a refund of the taxes unless another exemption applies. See Texas Tax Code Section 151.333(c).
Energy Star Holiday — Frequently Asked Questions
1. Your Energy Star publication states "Texas shoppers get a break from state and local sales and use taxes..." Could you clarify who qualifies as a "Texas shopper"? For example, would a homebuilder qualify for the exemption if they buy large quantities?
"Texas shopper" refers to anyone in Texas buying these products on the stated weekend at a store in Texas or from an Internet or catalog seller engaged in business in this state. The term includes homebuilders, real estate developers, dealers, service providers and contractors. The purchased items may be held in inventory until ready for use. There is no limit on the number of qualifying items one can purchase during this sales tax holiday.
2. Do purchasers need to provide an exemption certificate or any other documentation to claim this exemption?
No, purchasers do not need to issue an exemption certificate or any other type of documentation to sellers to buy qualifying item tax free during the sales tax holiday period.
3. Can purchasers from outside of Texas make tax-free purchases of qualifying products during the sales tax holiday?
Yes, out-of-state purchasers may purchase qualifying items tax-free during the sales tax holiday. Texas tax is not due on items sold for use outside Texas provided the seller ships or delivers the taxable items to an out-of-state location. The state in which the purchaser takes possession or makes use of the item may impose its sales or use taxes on the transaction.
4. I've noticed some Energy Star rated items I need are not on the list. Why?
The items eligible for the exemption during the Energy Star holiday is limited to only those items specifically listed in Tax Code Section 151.333. The Energy Star Sales Tax Holiday applies only to the following appliances and household equipment:
* air conditioners priced less than $6,000,
* ceiling fans,
* dehumidifiers,
* dishwashers,
* incandescent and fluorescent light bulbs,
* programmable thermostats,
* refrigerators priced less than $2,000 and
* clothes washers.
5. A lot of Texans may need a new water heater. Why were water heaters not added to the list? Also, it seems silly to exempt clothes washers but not clothes dryers.
The U.S. Department of Energy presently has not qualified water heaters for the Energy Star label. Also, the Energy Star designation is not applied to clothes dryers since there is little difference in the energy use between models. Combination clothes washer and dryer units will qualify for the exemption if the appliance is classified as a clothes washer by Energy Star and if the model number is listed on the Energy Star qualified clothes washer product list available online.
6. Are heat pumps considered air conditioners for the purpose of the upcoming Energy Star sales tax holiday?
No. Heat pumps and air conditioners are defined and listed separately in the information provided on the Energy Star Web site. Because Energy Star differentiates between the two types of equipment and the statute specifically states that the exemption applies only to the listed products, heat pumps do not qualify - even if they can be used to cool a home.
7. A central air conditioning system consists of several components. If I replace an air conditioner component in an existing system with a new Energy Star rated component, will that part qualify for the sales tax holiday exemption?
No. The exemption does not apply to individual air conditioning components. The exemption is for the purchase of air conditioning units priced at $6000 or less.
8. Can a wine refrigerator, kegerator or residential beverage chiller qualify for the sales tax holiday exemption?
No. Wine cooler refrigerators, beer coolers, kegerators, and other beverage coolers can not qualify for Energy Star designation and therefore cannot be purchased tax-free during the sales tax holiday. The Energy Star program only qualifies residential refrigeration products that are included in the Department of Energy's appliance efficiency standards program. Since wine cooler refrigerators, beer coolers, kegerators, and other beverage coolers do not meet the technical definitions for any of the 18 product types that are included in the standards program, they are not included in the Energy Star program.
9. Do freezers or stoves qualify for the exemption?
No. Freezers and stoves are not included in the statutory list of products eligible for the Energy Star sales tax holiday exemption.
10. Do attic fans qualify for the exemption?
No. The EPA does not label attic fans because they use more energy than alternative attic cooling methods such as passive ventilation. Therefore attic fans do not qualify for the exemption.
11. Do mini-fridges qualify for exemption from tax during the sales tax holiday?
Yes. Compact or mini-fridges priced less than $2000 and designated with the Energy Star logo may be purchased tax-free during the Memorial Day weekend sales tax holiday.
12. Does the Comptroller's office administer any programs that provide credits for energy efficient home improvement?
No. The Comptroller's office does not administer any programs that provide credits for energy efficient home improvement. We recommend that you contact local representatives in your area to see if there are any local energy savings programs in place. You may also find information about various products and programs through the Energy Star Web site.
More information about the tax holiday is available on the Comptroller’s Website.
