Solar Tax Credits: Hurry before they are gone

Get Your Solar Tax Credit While It Lasts!

Originally signed into effect in 2006 at 30% the Solar Tax Credit has played a major role in the installation of solar systems for families and businesses both small and commercial. Sparking massive growth in the solar industry across the country, expanding the renewables market. This break means almost anyone looking to make the addition of solar benefited not only from clean, reliable energy but also saw quicker returns.

In the beginning, the Solar ITC drove down costs by 30% acting as a massive incentive to install solar which led to rapid industry growth. However, it wasn’t designed to last that 30% has already started to drop and will continue to fall in the coming years. Although that percentage has started to drop overall installation growth continues to rise. Advancing the United States’ clean energy production by including energy produced from the sun to hydro and wind energy. Solar energy is an abundant and reliable energy source that is gaining traction with end consumers. California was the early-adoption state and has been leading the industry for solar installations, no surprise there. As popularity for solar expands into other states that top spot is now being contested by The Lone Star State. This surge in popularity can be in part accredited to the Tax Credit that is now about to run out.

Despite an initial extension back in 2015 to keep the ITC at 30%, 2019 was the last year to receive the full tax break. At the start of 2020, it dropped to 26% for both residential and commercial installations. Starting in 2021 it will drop again to 22% and thereafter in 2022 only commercial solar will benefit from a marginal 10% ITC.

Long story short, the best time to add solar is now! Take advantage of the Solar Tax Credit while it is still around. If you can’t make it before the 2020 deadline you still have one more year to automatically earn a 22% return. Solar energy is a long-term investment that yields almost immediate returns. Produce your own energy from an abundant and predictable resource. Not to mention by improving your home with a solar system it will sell faster and for a higher price than a home without solar.



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