Here’s what you better know.
A tax credit is a dollar-for-dollar reduction to the income tax you owe.
What is the Federal Solar Tax Credit?
The solar federal tax credit (or ITC) started in 2006 and was set to expire in 2024.
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This is why the tax credit is such a big deal.
What’s All Included In the Credit?
Another misconception about the solar ITC is that it only includes the cost of solar panels.
When, in fact, it covers an entire host of things.
You’ll want to save receipts and have records of everything.
When you combine it all, that can be a significant investment on which you’ll want a credit.
Basically, homeowners have a lot of options when it comes to solar.
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Both California and Texas have favorable solar incentives as well.
Plus, they typically will not reduce your federal solar tax credit, which is good news.
Additionally, another state discount is SRECs.
Owners can then sell those to the local energy company.
Local utility company rebates are readily available, but you’ll want to do more research on those.
This means you’ll have a lower total dollar amount towards the federal tax credit.
So, what are you waiting for?
Give solar a try.
