About the Federal Solar Tax Credit
The largest Climate Bill in American history was recently passed. Homeowners can take advantage of many incentives to save money and energy from insulation to rooftop solar panels. The residential Federal solar tax credit can be claimed on your income taxes as a percentage of the total cost of solar panel installation of a solar photovoltaic (PV) system. Your solar panel installation is now eligible for a 30% federal tax credit. This tax credit also applies to solar batteries and solar energy storage solutions. This tax credit has been extended to 2033.
What Is a Tax Credit?
A tax credit or tax rebate is a reduction in the amount of income tax you are responsible for or would otherwise owe. Tax credits are dollar-for-dollar, so if you claim an $800 tax credit, your federal income tax will be reduced by $800. A federal tax credit is sometimes also referred to as a tax rebate or Investment Tax Credit.
How to Find Out if You Are Eligible
In order to be eligible for the Federal tax credit for solar panel installation in GA or NC, you must meet these criteria:
- The solar system installation occurred at your primary or secondary residence in the United States
- You own the solar panel system and are not leasing it
- The solar panel installation is new or being used for the first time
- Learn more here about what the new Climate Bill means for homeowners and businesses interested in solar panel installation
What Expenses Are Included With the Tax Rebate?
You can claim the following expenses associated with your solar installation investment in GA & NC:
- Solar panels
- PV cells
- Labor costs for contractors used in solar panel installation, preparation, & assembly
- Costs of fees, inspections, and development
- Solar panel equipment including wiring, inverters, and mounting equipment
- Energy storage devices charged exclusively by solar panels
- Sales tax on these expenses
Please note that if you received an incentive or rebate from your electric utility to install solar panels, you will need to deduct that rebate amount from your total tax incentive.
Contact Us to Learn More About the Solar Tax Credit
To learn more about the solar tax credit in GA & NC or the benefits of solar installation, contact us at Better Tomorrow Solar. We provide affordable solar installation for Georgia, North Carolina, and surrounding areas. Get a free quote for solar panel installation today by calling us or contacting us online.