* . *
  • About
  • Advertise
  • Privacy & Policy
  • Contact
Saturday, September 27, 2025
Earth-News
  • Home
  • Business
  • Entertainment
    Cardi B Adds More Dates to Little Miss Drama Tour: ‘Y’all Making Me Work’ – Yahoo

    Cardi B Extends Little Miss Drama Tour: “Y’all Making Me Work

    ‘Today’: Sheinelle Jones Thanks Katie Couric for Support After Husband’s Death – CBS 19 News

    Sheinelle Jones Expresses Heartfelt Thanks to Katie Couric for Support After Husband’s Passing

    Sate your hunger at DBA’s Taste of Downtown – Bakersfield.com

    Indulge Your Cravings at DBA’s Taste of Downtown!

    Caesars Entertainment (CZR): Assessing Valuation After Times Square Casino Setback and Mounting Investor Concerns – simplywall.st

    Caesars Entertainment Faces Times Square Casino Hurdles as Investor Concerns Mount

    Why Hilaria Baldwin Has Found the ‘DWTS’ Process ‘Embarrassing’ At Times – WFXG

    Hilaria Baldwin Opens Up About the Embarrassing Moments on Her ‘DWTS’ Journey

    Harvest Fest 2025 – yadkinripple.com

    Celebrate the Bounty: Harvest Fest 2025 is Coming!

  • General
  • Health
  • News

    Cracking the Code: Why China’s Economic Challenges Aren’t Shaking Markets, Unlike America’s” – Bloomberg

    Trump’s Narrow Window to Spread the Truth About Harris

    Trump’s Narrow Window to Spread the Truth About Harris

    Israel-Gaza war live updates: Hamas leader Ismail Haniyeh assassinated in Iran, group says

    Israel-Gaza war live updates: Hamas leader Ismail Haniyeh assassinated in Iran, group says

    PAP Boss to Niger Delta Youths, Stay Away from the Protest

    PAP Boss to Niger Delta Youths, Stay Away from the Protest

    Court Restricts Protests In Lagos To Freedom, Peace Park

    Court Restricts Protests In Lagos To Freedom, Peace Park

    Fans React to Jazz Jennings’ Inspiring Weight Loss Journey

    Fans React to Jazz Jennings’ Inspiring Weight Loss Journey

    Trending Tags

    • Trump Inauguration
    • United Stated
    • White House
    • Market Stories
    • Election Results
  • Science
  • Sports
  • Technology
    Aurora police hope to add facial recognition technology to crime-fighting tools – CBS News

    Aurora Police Aim to Boost Crime-Fighting with New Facial Recognition Technology

    Autonomous Solutions shows off cutting-edge technology for the public – Cache Valley Daily

    Autonomous Solutions Unveils Cutting-Edge Technology for the Public

    Amazon to Pay $2.5 Billion in Prime Membership Settlement – The New York Times

    Amazon to Pay $2.5 Billion in Prime Membership Settlement – The New York Times

    What are we really gaining from technology? – Fast Company

    What Are We Really Gaining from Technology?

    TOMI Environmental Solutions, Inc. Expands SteraMist iHP Technology Services in Healthcare Sector with New Provider Partnership – Quiver Quantitative

    TOMI Environmental Solutions Accelerates SteraMist iHP Technology Expansion in Healthcare with New Provider Partnership

    Indiana County Technology Center’s Joint Operating Committee looks to the future as program plans began to take shape – Indiana Gazette Online

    Indiana County Technology Center’s Joint Operating Committee Charts an Exciting Path Forward as New Program Plans Take Shape

    Trending Tags

    • Nintendo Switch
    • CES 2017
    • Playstation 4 Pro
    • Mark Zuckerberg
No Result
View All Result
  • Home
  • Business
  • Entertainment
    Cardi B Adds More Dates to Little Miss Drama Tour: ‘Y’all Making Me Work’ – Yahoo

    Cardi B Extends Little Miss Drama Tour: “Y’all Making Me Work

    ‘Today’: Sheinelle Jones Thanks Katie Couric for Support After Husband’s Death – CBS 19 News

    Sheinelle Jones Expresses Heartfelt Thanks to Katie Couric for Support After Husband’s Passing

    Sate your hunger at DBA’s Taste of Downtown – Bakersfield.com

    Indulge Your Cravings at DBA’s Taste of Downtown!

    Caesars Entertainment (CZR): Assessing Valuation After Times Square Casino Setback and Mounting Investor Concerns – simplywall.st

    Caesars Entertainment Faces Times Square Casino Hurdles as Investor Concerns Mount

    Why Hilaria Baldwin Has Found the ‘DWTS’ Process ‘Embarrassing’ At Times – WFXG

    Hilaria Baldwin Opens Up About the Embarrassing Moments on Her ‘DWTS’ Journey

    Harvest Fest 2025 – yadkinripple.com

    Celebrate the Bounty: Harvest Fest 2025 is Coming!

  • General
  • Health
  • News

    Cracking the Code: Why China’s Economic Challenges Aren’t Shaking Markets, Unlike America’s” – Bloomberg

    Trump’s Narrow Window to Spread the Truth About Harris

    Trump’s Narrow Window to Spread the Truth About Harris

    Israel-Gaza war live updates: Hamas leader Ismail Haniyeh assassinated in Iran, group says

    Israel-Gaza war live updates: Hamas leader Ismail Haniyeh assassinated in Iran, group says

    PAP Boss to Niger Delta Youths, Stay Away from the Protest

    PAP Boss to Niger Delta Youths, Stay Away from the Protest

    Court Restricts Protests In Lagos To Freedom, Peace Park

    Court Restricts Protests In Lagos To Freedom, Peace Park

    Fans React to Jazz Jennings’ Inspiring Weight Loss Journey

    Fans React to Jazz Jennings’ Inspiring Weight Loss Journey

    Trending Tags

    • Trump Inauguration
    • United Stated
    • White House
    • Market Stories
    • Election Results
  • Science
  • Sports
  • Technology
    Aurora police hope to add facial recognition technology to crime-fighting tools – CBS News

    Aurora Police Aim to Boost Crime-Fighting with New Facial Recognition Technology

    Autonomous Solutions shows off cutting-edge technology for the public – Cache Valley Daily

    Autonomous Solutions Unveils Cutting-Edge Technology for the Public

    Amazon to Pay $2.5 Billion in Prime Membership Settlement – The New York Times

    Amazon to Pay $2.5 Billion in Prime Membership Settlement – The New York Times

    What are we really gaining from technology? – Fast Company

    What Are We Really Gaining from Technology?

    TOMI Environmental Solutions, Inc. Expands SteraMist iHP Technology Services in Healthcare Sector with New Provider Partnership – Quiver Quantitative

    TOMI Environmental Solutions Accelerates SteraMist iHP Technology Expansion in Healthcare with New Provider Partnership

    Indiana County Technology Center’s Joint Operating Committee looks to the future as program plans began to take shape – Indiana Gazette Online

    Indiana County Technology Center’s Joint Operating Committee Charts an Exciting Path Forward as New Program Plans Take Shape

    Trending Tags

    • Nintendo Switch
    • CES 2017
    • Playstation 4 Pro
    • Mark Zuckerberg
No Result
View All Result
Earth-News
No Result
View All Result
Home Technology

Federal Solar Tax Credit Explained: Here’s How You Can Make the Most of It

July 12, 2024
in Technology
Federal Solar Tax Credit Explained: Here’s How You Can Make the Most of It
Share on FacebookShare on Twitter

As we move towards a greener future, the role of solar energy continues to grow in parallel. For those on the fence, there are substantial benefits to shifting to solar, and with residential solar panels being more affordable than ever — plus, installation rates becoming lower — it might be time to consider getting a solar energy system.

To add, the Inflation Reduction Act, which became law in August 2022, introduced a generous tax credit for citizens looking to install rooftop solar panels on their homes. It’s known as the residential clean energy credit, and it can lend you that extra help in addition to the financing, to help you power your home with solar energy. It’s a great way to offset some of the costs you incur while setting up your system.

Here’s all you need to know about how the tax credit works, and how you can benefit from it.

What is the federal solar tax credit?

The residential clean energy credit itself isn’t totally new. Previously called the investment tax credit, it’s been around for years but was expanded significantly under the Inflation Reduction Act. 

“It actually had been scaling down prior to the passing of the IRA,” said Gilbert Michaud, an assistant professor in the School of Environmental Sustainability at Loyola University Chicago. “As part of the Inflation Reduction Act, they just said, ‘We’re going to mitigate all the risk and the changes and uncertainty'” and bump it back up.

The credit now covers up to 30% of the cost of new, qualified clean energy improvements in your home, made between now and 2033. That includes projects like solar, but also water heaters, wind turbines, geothermal heat pumps, fuel cells and battery storage technology.

The solar credit is just one of the tax credit and rebate programs in the Inflation Reduction Act. The legislation’s incentives can also save you money on electric vehicles, EV chargers and energy efficiency upgrades to your home.

Considering Solar Panels?

Our email course will walk you through how to go solar

How does the federal solar tax credit work?

This federal incentive, while generous, won’t come directly in the form of cash in your pocket. Instead, it’ll reduce the amount of money you pay in federal taxes. 

For example, if you installed a $15,000 solar array, you’d qualify for a federal tax credit of $4,500. That means your tax bill in the following year would be lowered by $4,500. (This is different from a typical tax deduction, which lowers your total taxable income and could result in a reduction in your tax bill as well.)

If the credit you’re eligible for is more than the amount you owe in taxes to begin with, “you can carry forward any excess unused credit … and apply it to reduce the tax you owe in future years,” according to the IRS.

What is covered by the solar tax credit?

The residential clean energy credit covers a broad array of home energy improvements. When it comes to solar, the credit covers:

The expense of the actual solar panels and related hardwareThe cost of labor for installation and assemblyAny electrical work required to connect the solar array to your homeAny “soft costs,” like permitting fees

“It’s basically an all-in — ‘How much did you spend to put this on your roof?'” Michaud said.

Other roofing costs, like new support beams or shingles, aren’t covered by the solar tax credit.

How do I claim the federal solar tax credit?

The process for claiming the federal tax credit is fairly straightforward. Here’s how it works:

Work with a solar installer to complete the installation of your rooftop solar system.The following year, when filing your taxes for the year in which your solar array was installed, fill out the IRS Form 5695, Residential Energy Credits.Because the credit reduces your tax bill, you won’t necessarily “receive” anything. But when you file your taxes, the credit will reduce your tax bill for that year.

If you use software like TurboTax, it’s even simpler: The system will ask you if you’ve installed solar in the last year, and you check the box if you have.

“These software packages make things easy for consumers,” Michaud said.

What about state tax credits?

Though the federal tax credit can cover up to 30% of your solar costs, that still leaves a significant expense for your home improvement project. 

But depending on where you live, you might be able to pile on additional state-level tax credits that reduce the cost of solar even further. This guide outlines some of the most generous state incentive programs, including those in Illinois, New York and South Carolina. Some states offer property tax and sales tax exemptions for solar panels, too.

You can find what’s available in your state by contacting your utility provider, or running a quick Google search for your state’s solar tax credit program. Even if there’s no credit available where you live, there might be some kind of grant or net-metering policy that can offset the cost of solar.

Solar resources in your state

undefined

How accessible are residential solar panels today?

By and large, installing residential solar is more accessible today than it’s been at any point in the past.

“These residential solar energy systems are now more affordable than ever,” Michaud said. “And with the tax credit going back up to 30%, you have this beautiful, perfect storm.”

On top of the cost savings, installers are more plentiful and experienced, too. Sometimes you can get your solar system installed in just a day or two, start to finish, Michaud said. 

And with the federal tax credit locked in for the next decade, the trend is likely to continue in this direction: More homeowners installing solar, more economies of scale, and more opportunities to lower the cost. 

Solar tax credit FAQs

When can I claim the federal solar tax credit?

Any solar-energy system installed after Jan. 1, 2006 is eligible for the one-time credit. If your system was installed and generated electricity in your home in the last year, you can claim it on your taxes. But if you buy and install one this year, you’ll have to wait until next year to deduct the credit.

What are the criteria to claim the solar energy credit?

You can claim the credit once toward the original installation of the equipment. You must own the solar photovoltaic system, and it must be located at your primary or secondary residence. (In some cases, an offsite community solar project also qualifies.) If you are leasing solar panels, you don’t get the tax break. There is no maximum amount that can be claimed, though. In addition, if you financed the system through the manufacturer and are contractually obligated to pay for it in full, you can claim the credit based on the full cost of the system. 

How many times can I claim the solar tax credit?

There is no annual or lifetime limit to the residential clean energy credit, except for fuel cells. 

Is there an income limit for the federal solar tax credit?

There is no income limit, but the amount you can receive from the tax credit is limited to how much you would pay in taxes for that year — the credit is nonrefundable. However, you can carry forward excess unused tax credits and apply them against taxes you owe in future years.

Can I claim the federal solar tax credit if I do not owe any taxes?

Because the credit is nonrefundable, it is limited to the amount of taxes you owe that year. However, unused credits can be rolled over to future years.

CNET’s Dan Avery contributed to this report.

>>> Read full article>>>
Copyright for syndicated content belongs to the linked Source : CNET – https://www.cnet.com/home/energy-and-utilities/solar-tax-credits/#ftag=CAD590a51e

Tags: Federalsolartechnology
Previous Post

Asus ROG Zephyrus G16 Review: A Top Gaming Laptop for Creators Too

Next Post

Swingin’ Seaside Interview Event Spotlights Sinatra Scholar Chuck Granata

New Delhi 2025: Preview, stars and how to watch the World Championships – Paralympic.org

New Delhi 2025 World Championships: Top Athletes to Watch and How You Can Catch the Action

September 27, 2025
Stock market exodus to Wall Street hits 20-year high – EL PAÍS English

Stock market exodus to Wall Street hits 20-year high – EL PAÍS English

September 27, 2025
October Prime Day TV Deals: Elevate Your Entertainment Space With These Early Savings – CNET

October Prime Day TV Deals: Upgrade Your Entertainment Space with These Early Savings

September 27, 2025
Georgia’s Medicaid work requirement program spent twice as much on administrative costs as on health care, GAO says – North Carolina Health News

Georgia’s Medicaid Work Requirement Program Spent Twice as Much on Administration as on Patient Care, GAO Finds

September 27, 2025
TGIF: Ian Donnis’ Rhode Island politics roundup for Sept. 26, 2025 – The Public’s Radio

TGIF: Ian Donnis’ Rhode Island politics roundup for Sept. 26, 2025 – The Public’s Radio

September 27, 2025
City Parks Initiative Launches Ecological Tracker for Bond Projects – Citizen Portal AI

Revolutionary Ecological Tracker Unveiled to Transform Monitoring of City Parks Bond Projects

September 27, 2025
Award-winning science writer leads student discussions at Eckerd – theonlinecurrent.com

Award-Winning Science Writer Inspires Student Discussions at Eckerd College

September 27, 2025
Human Head Transplants: Where the Science Stands, and Why the Ethics Are So Complicated – Discover Magazine

Human Head Transplants: The Science Behind the Procedure and the Complex Ethical Debate

September 27, 2025
New lifestyle brand TENŌRE set to open flagship store in Waikīkī – KITV

New lifestyle brand TENŌRE set to open flagship store in Waikīkī – KITV

September 27, 2025
Aurora police hope to add facial recognition technology to crime-fighting tools – CBS News

Aurora Police Aim to Boost Crime-Fighting with New Facial Recognition Technology

September 27, 2025

Categories

Archives

September 2025
M T W T F S S
1234567
891011121314
15161718192021
22232425262728
2930  
« Aug    
Earth-News.info

The Earth News is an independent English-language daily published Website from all around the World News

Browse by Category

  • Business (20,132)
  • Ecology (839)
  • Economy (860)
  • Entertainment (21,734)
  • General (17,270)
  • Health (9,903)
  • Lifestyle (872)
  • News (22,149)
  • People (861)
  • Politics (870)
  • Science (16,069)
  • Sports (21,359)
  • Technology (15,842)
  • World (842)

Recent News

New Delhi 2025: Preview, stars and how to watch the World Championships – Paralympic.org

New Delhi 2025 World Championships: Top Athletes to Watch and How You Can Catch the Action

September 27, 2025
Stock market exodus to Wall Street hits 20-year high – EL PAÍS English

Stock market exodus to Wall Street hits 20-year high – EL PAÍS English

September 27, 2025
  • About
  • Advertise
  • Privacy & Policy
  • Contact

© 2023 earth-news.info

No Result
View All Result

© 2023 earth-news.info

No Result
View All Result

© 2023 earth-news.info

Go to mobile version