The Solar Tax Credit Just Increased to 30%! What Does that Mean for Me?

The solar tax credit, also known as the investment tax credit (ITC), is a federal tax credit that allows you to deduct a portion of the cost of installing a solar energy system from your federal taxes. The ITC was established in 2006 to encourage the use of renewable energy sources, like solar, and has been extended and expanded several times.

The most recent extension was signed into law in December 2020 and increased the solar ITC to 30%. This is a significant increase from the previous rate of 26%, and it means that more homeowners and businesses will be able to take advantage of this credit.

So, what does this mean for you?

If you’re considering going solar, now is a great time to do it. With the increased ITC, you can save even more money on your installation costs. And, if you’re already solar-powered, you can still benefit from the ITC by claiming it on your taxes this year.

If you have any questions about the solar ITC or how it can benefit you, please contact us. We’re happy to help you take advantage of this great opportunity to save money and go green.

How Do Solar Panels Work?

Solar panels work by absorbing the sunlight that hits them and converting it into electrical energy. The solar cells in the panels are made of a material that allows them to absorb the sunlight and create an electrical current.

Does Adding Solar Panels to my Home Really Save Me Money?

The short answer is yes, solar panels do save you money on your energy bills. Solar panels are a renewable energy source, which means they generate electricity from the sun’s rays.