Solar energy tax credits could save you thousands on your system
Tax credits for residential solar panel systems have been one of the big growth drivers of the solar industry in the past decade. With the federal government providing a 30-percent tax credit on systems for eligible taxpayers, it’s been a huge boost for consumers to help pay for their purchase. Some states are even offering their own credits, which could save solar customers even more money.
While credits for each state differ, the current parameters of the federal credit showcase why it’s best to think about going solar now to maximize the potential tax credit you can receive from your installation.
Solar panel systems placed in service by Dec. 31, 2019 will benefit from the 30-percent rate, provided you qualify for the credit. But that rate is gradually reduced in 2020 and beyond. Check out the breakdown:
Systems placed in service between Jan. 1, 2020 and Dec. 31, 2020: 26 percent credit
Systems placed in service between Jan. 1, 2021 and Dec. 31, 2021: 22 percent credit
Using the example above, the 26 percent credit would give you $260 back for every $1,000 spent, and the 22 percent credit would give you $220 for every $1,000. The disparity appears even more stark as the numbers get larger.
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No matter what you decide, consult with your tax professional to determine your tax credit qualifications, as Power Home Solar cannot give advice on customers’ personal tax liability or their eligibility for tax refunds.
Power Home would love to help you join the solar energy movement. We’re experts in solar installation, and we were also recently ranked as the 12th-largest residential solar installer in the nation by Solar Power World. If you’re in our five-state coverage area (Michigan, North Carolina, Ohio, South Carolina and Virginia), we want to hear from you.
With our innovative solar program, homeowners can go solar for $0 up-front cost, save money on their electric bills, and generate their own clean energy. The solar panels installed on your home are American made and come with a 25-year warranty, with many panels expected to last well beyond that.
Please feel free to fill out the form below or contact Power Home Solar at 800-765-2715, and one of our solar representatives will help you determine whether your home qualifies for this program.