Many businesses have implemented energy efficiency measures in their facilities over the past several years to help decrease operating expenses and aid the local and global environment. What a lot of these companies do not know is that sizeable federal tax deductions are available to them and also that time may be running out.

The Energy Policy Act of 2005 (EPAct 2005) provides generous, immediate tax deductions to businesses for making energy efficiency improvements to their buildings. The federal tax incentives center mainly on efficiency improvements to lighting, HVAC and building envelopes and can be as large as $1.80 per square foot.

The Emergency Economic Stabilization Act of 2008 extended Section 179D and EPAct 2005 so the act will not expire until December 31, 2013. However, that does not mean that time may not be running out for some companies.

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