Federal Solar Investment Tax Credit (ITC)
Incredible opportunity for additional savings.
Take advantage of the 30% Federal Solar Investment Tax Credit (ITC) and significantly reduce the cost of your solar energy system, including battery storage.
This incentive covers the entire solar project or solar with battery project, making solar more affordable and helping you save on energy costs.
Even if you can't use the full credit in one year, you can roll it over to future tax years, maximizing your savings.
It's a great time to invest in clean energy!
The Federal Solar Investment Tax Credit (ITC) allows homeowners to receive a 30% tax credit on the total cost of installing a solar energy system, including battery storage.
Important Tax Considerations
You must have a federal tax liability to take advantage of the ITC. This means you need to owe taxes to the federal government to apply the credit. If your tax liability is less than the total credit, you can carry over the unused credit to future tax years until it is fully utilized.
Who is Eligible?
Homeowners who own their solar system outright, which means they will have either paid cash or purchased the system with a loan.
The solar system must be installed on a primary or secondary residence in the U.S.
The system must be installed between 2022 and 2032 to qualify for the 30% credit.
The ITC applies only to new systems or the first installation on a property. It doesn’t apply if you are re-installing a used system.
This is a tax credit, not a rebate. It reduces your tax liability but doesn’t provide an immediate refund or payout.
How to Apply:
To claim the credit, you will need to file IRS Form 5695 (Residential Energy Credits) along with your federal tax return for the year the system was installed.
Disclaimer:
While this page discusses solar tax credits and filing your returns, you should ALWAYS consult your tax professional for your specific situation. We do not assume responsibility for your tax situation or credits.