Revolution Solar

Revolution Solar: A Guide to Solar Energy Tax Credits and Incentives

09.10.23 09:53 PM By Dameon
Image of a solar panel with a dollar sign, representing the financial incentives available through solar energy tax credits and incentives.

Introduction

Investing in a solar system from Revolution Solar offers not just energy cost savings and environmental benefits, but also financial incentives through various solar energy tax credits and incentives. Here's a guide to help you navigate these advantages.

Federal Solar Investment Tax Credit (ITC)

The Federal ITC allows you to deduct a portion of your solar system costs from your federal taxes. The percentage you can deduct varies from year to year, so it's best to consult with a tax professional or the IRS website for the most current information.

State and Local Incentives

Many states and local governments also offer their own solar incentives. These may include property tax exemptions, sales tax exemptions, and cash rebates. The Database of State Incentives for Renewables & Efficiency (DSIRE) is a good resource for information about incentives in your area.

Solar Renewable Energy Certificates (SRECs)

In some states, you can earn SRECs for the electricity your solar system generates. These certificates can be sold, providing an additional income stream.

Net Metering

Net metering allows you to sell excess electricity generated by your solar system back to the grid. This can offset your electricity costs and even result in a credit on your utility bill.

Conclusion

With these various tax credits and incentives, solar energy from your Revolution Solar system becomes an even more appealing investment. Remember to consult with a solar professional or tax advisor to understand all the benefits available to you in your specific location.

Frequently Asked Questions (FAQs)

What is the Federal Solar Investment Tax Credit (ITC)?
The Federal ITC is a tax credit that allows you to deduct a portion of your solar system costs from your federal taxes. The percentage you can deduct varies from year to year.
Are there state and local incentives for solar energy?
Many states and local governments offer their own solar incentives, which may include property tax exemptions, sales tax exemptions, and cash rebates.
What are Solar Renewable Energy Certificates (SRECs)?
In some states, you can earn SRECs for the electricity your solar system generates. These certificates can be sold, providing an additional income stream.
What is net metering?
Net metering allows you to sell excess electricity generated by your solar system back to the grid, offsetting your electricity costs or even resulting in a credit on your utility bill.
Who can help me understand the tax credits and incentives available for my solar system?
A solar professional or tax advisor can provide guidance on the various benefits available in your specific location.