Homeowners, solar companies, and industry advocates alike were given a big Christmas gift in 2015 when Congress approved the 2016 federal spending bill and extended the solar panel tax credit. The December 18 bill contained a 5-year solar tax credit extension, which makes solar more affordable for all Americans. Wondering how this impacts you? EnergySage has the answers.
For those asking themselves “should I go solar”, the cost of solar installation has fallen every year, and 2015 was no different. According to Lawrence Berkeley National Laboratory, installing a residential solar energy system cost eight percent less in 2015 than in 2014, which is great news for today’s solar shoppers. But the ever-decreasing costs of solar create a conundrum: should I go solar now or wait? For many, daily headlines that declare lower and lower prices can stir them to action. For others though, these same headlines can cause them to wait a few more years in hopes of saving even more money. So who’s right?
When you think of Massachusetts, you may think of the historical city of Boston, its championship sports teams, or distinctive pronunciation of the letter “R”. Now, it’s time to add a new association to the list because Massachusetts solar incentives and programs are now considered some of the best in the country. In this article, we break down these incentives and explain why solar panels are such a great investment in Massachusetts in 2016.
If you’re considering solar, you’ve probably heard about the federal solar tax credit, also known as the Investment Tax Credit (ITC). The Federal ITC makes solar more affordable for homeowners and businesses by granting a dollar-for-dollar tax deduction equal to 30% of the total cost of a solar energy system.
What does 30% actually mean for the average solar shopper? According to EnergySage marketplace data, the average national gross cost of installing a solar panel system in the first half of 2015 was $29,225. At that price, the solar tax credit can reduce your federal tax burden by $8,768 – and that’s just one of many rebates and incentives that can reduce the cost of solar for homeowners.
There’s plenty of information out there about the value of the residential ITC, but figuring out how to actually claim the credit when it comes time to file your taxes is another story. We’ll walk you through the process step by step from Form 5695 to Form 1040.
Breaking: The sun continued to shine this week. Thanks to this major win for the solar industry, the future of solar is looking bright. A victory for solar shoppers in California, progress for New Mexico’s solar tax credit and the dominance of renewables over natural gas are the headlines you need to know about from this week’s Solar Energy News.
2016 is poised to be the best year yet for solar. At some time during the next few months, the U.S. will reach a milestone of one million solar homes, and industry experts predict that this solar momentum will continue throughout the year. If you’ve been thinking about installing a solar energy system, 2016 is the year to go for it. Read on to find out why we’re now beginning the Year of Solar.
2015 was the biggest year in recent memory for the U.S. solar industry. In this post, we highlight the top three things that made 2015 so significant, plus three things that EnergySage is looking forward to in 2016.
This week has seen some of the most exciting developments for solar in 2015. Read on to learn more about all of the solar energy news for the week of December 14, 2015.
More and more homeowners are discovering the financial benefits of solar and installing solar energy systems on their property, but what many people don’t realize that winter is actually the best time to start shopping for solar. Here are the top five reasons why homeowners should start shopping for solar in the winter.
(Update: On December 18, 2015, Congress extended the solar tax credit for homeowners through 2021. Click to learn more about the extension.)
Where did the Solar ITC Come From?
With the passage of the Energy Policy Act of 2005, during the George W. Bush administration, the Solar Investment Tax Credit (ITC) was created. It allowed people getting a solar energy system installed to recoup 30 percent of the total cost of a solar energy system, but residential systems were capped at a $2,000 return. The ITC was scheduled to expire only a few years after it was passed, but in 2008 an extension was passed as part of the Cantwell-Ensign Clean Energy Tax Stimulus Act of 2008 which was part of the Emergency Economic Stabilization Act of 2008 (sometimes called the TARP for the section that included the Troubled Assets Relief Program). At that point the $2,000 residential cap on the ITC was removed. Now the ITC is set to expire completely for residential projects at the end of 2016, for commercial projects it will shrink to covering 10 percent of the costs. Continue reading