Solar Tax Credits
The Federal Solar Tax Credit
The IRS pays for 26% of your solar system in the form of a Federal Income Tax Credit. This credit will drop down to 22% in 2021, and then 10% in 2022. This is a dollar-for-dollar return on your solar investment. It is not just lowering your taxable income. This is a physical reimbursement of your federal tax dollars from the US government. You have up to 5 years to claim the full amount of that you are eligible. The average solar federal tax credit that our customers receive is $7,500 to $10,000.
For more information and to see what the actual IRS form looks like, you can click the PDF below to download it! Please note the form below will reflect the 2019 tax credit value of 30%.
NEW YORK STATE
Solar INCOME Tax Credit
New York State also contributes in the form of a state income tax credit. The tax credit is 25% of the entire gross system cost (including labor) up to a maximum of $5,000. This is also a dollar-for-dollar return on investment and is a reimbursement of your tax dollars of your State Income Taxes. Generally all of our customers have been able to claim most or all of the full $5,000 state credit per home.
For more information and to see what the actual NY State form looks like, you can click the PDF below to download it!