Rebates and Incentives
Solar Electric Federal Tax Credits, or Solar Investment Tax Credit (ITC)
- A tax credit is a dollar-for-dollar reduction in the income taxes that a person or company claiming the credit would otherwise pay the federal government.
- There is currently a 30% federal tax credit for systems.
- A taxpayer may claim a credit of 30% of qualified expenditures for a system that serves a dwelling unit located in the United States that is owned and used as a residence by the taxpayer.
- There is no maximum credit for systems placed in service after 2008.
- Always check with your tax professional.
Solar Hot Water System Federal Tax Credits
- The Solar Rating Certification Corporation (SRCC) or a comparable entity endorsed by the government of the state in which the property is installed must certify equipment for performance.
- At least half the energy used to heat the dwelling’s water must be from solar in order for the solar water-heating property expenditures to be eligible.
- The home served by the system does not have to be the taxpayer’s principal residence.