2011 – 2012 Solar Tax Credit – Solar Rebate
Posted by easy eco blog
Get a Free Solar Power Estimate from a local vendor by clicking the advertisement above.
2011 – 2012 continues the very popular residential Solar Federal Tax Credit first enacted in 2009. The previous solar tax credit program was capped at $2,000. With the new one one, you can claim up to 30% of solar power costs for a new solar electric system. Existing homes & new construction qualify. Both principal residences and second homes qualify. Rentals do not qualify. Expires: December 31, 2016
The Solar Federal Tax Credit 2011 – 2012 works especially well when coupled with a state rebate program. (CA, CT, NJ, NY) Also look for city solar incentive programs, that can also save you money on your solar panels.
On the tax credit, existing homes & new construction qualify. Both principal residences and second homes qualify. Rentals do not qualify.
This 2012 Solar Federal Tax Credit reduces the amount of tax you owe. The credit is a reduction of total income tax at the bottom of your tax return. This tax credit is a non-refundable tax credit. Consult your tax adviser for details about solar power. Use it or lose it!
Example Solar Electric System cost with Rebates
A 3kW solar electric system costing $24K would get $5K in California state rebates and $7.2k Solar Tax Credit. Final price $11.8k. System payback time could drop to 6-7 years. Rebates vary depending on location of course. Rebates make solar power Very attractive!
This Solar Federal Tax Credit is not affected by the AMT or Alternative Minimum Tax.
Interested in Solar Energy? Read our articles on solar power:
- Are Solar Panels for Me?
- Solar Panel Installation - Planning
- No money down Solar Panels
- Solar panel cleaning
Related posts:
- Residential Wind Power Federal Tax Credit for Consumer Energy Efficiency
- New California Solar Water Heater Rebate
- Federal Tax Credit for Consumer Energy Efficiency – Fuel Cells Power Generators and Microturbine System
- Federal Tax Credit for Energy Efficiency on GeoThermal Heat Pump
- Federal Tax Credit for Energy Efficiency – Insulation
- California Solar Initiative Rebates
- No Money Down Free Solar Panels – Lease Solar Equipment
- Costco Solar Electric System Special Event
Filed under: Alternative Energy, Effort, Energy, Green, Hard, Home, Solar | Tags: Federal Tax Credit, Federal Tax Credit for Energy Efficiency, Solar Energy, Solar Panels, Solar Rebate, Solar tax credit
If you enjoyed this post, be sure to subscribe to our RSS feed.
25 Responses to “2011 – 2012 Solar Tax Credit – Solar Rebate”
Leave a Reply
Please do not put your URL in the comment text and please use your PERSONAL name or initials and not your business name.
January 13th, 2010 at 12:02 am
[...] advantage of the 30% upto $1500 Federal Tax Credit on install Energy efficient items such as solar panels, windows, doors, skylights, water heaters, furnaces, boilers, pellet stoves, etc at a nice [...]
February 1st, 2010 at 5:31 pm
Greetings, Elks Lodge #6 in Sacramento, CA (non-profit) is installing a solar water panel system on the roof for the indoor swimming pool. Present natural gas fired heater is 400,000 BTU. Is there any Federal and/or State Solar rebates??
Sincerely, Jameas A. vonBergen
February 3rd, 2010 at 11:38 am
Solar heating systems for pools aren’t covered by the Federal Tax Credit.
April 17th, 2010 at 12:02 am
[...] 30% uncapped Federal tax rebate has no doubt help sell more solar power systems. [...]
June 10th, 2010 at 12:02 am
[...] Federal Tax Credit: [...]
December 28th, 2010 at 9:21 am
can tree removal for a ground mount pv system be part of the installed cost?
January 6th, 2011 at 4:18 pm
[...] Be sure to also take advantage of the Federal Energy Efficiency Tax Credit. This Federal tax credit can save you money in addition to your utility companies’ promotions. It applies to many items including: Windows, Doors, Skylights – Wood Heat Stoves, Pellet Stoves, Fireplace Inserts – Energy Efficient Water Heaters – Solar panels. [...]
January 21st, 2011 at 11:46 am
If I make a change to the solar system that costs to adjust (we need to change inverter for larger one, it is not dooing its job), can I take 30% off this cost (about $2,500). The system was put in last year (2009), we took the 30% credit already.
January 24th, 2011 at 8:59 am
I don’t think this would qualify, but ask your local dealer..
February 17th, 2011 at 7:46 am
I am trying to calculate the overall cost of the solar panel system on my office/apartment building I work at. I am wondering if my building will qualify for this incentive. The building I work in is an apartment building with 120 units. Half of the units are owned (and rented) by the property owner. The other half of the building is owned by individual tenants who purchased each apartment. I understand “rentals do not qualify”, but my building seems to land in a gray area of a “rental”. Does my building qualify for this federal tax incentive? If not, why?
February 17th, 2011 at 9:23 am
This is a complicated question that is way above my expertise and needs to be answered by a tax accountant who better understands your buildings status. You might check with the local solar firm to see if they have worked with properties such as yours.
February 17th, 2011 at 10:37 am
Thank you for your timely response. Much appreciated.
February 21st, 2011 at 7:13 pm
We are getting ready to put a solar system on our roof. We are having to replace the shingles on the area we will install the array (12 years old, 20 yr warranty) They are not going bad at this point but the installer won’t put the panels on the existing roof. Can the cost of re-roofing for solar be counted in the overall cost and thus qualify for the 30% tax credit?
February 22nd, 2011 at 11:39 am
I do not think so, that is just one of the hidden costs when installing a solar system. I did some preventative roof work for before we had ours installed also.
April 15th, 2011 at 1:48 pm
[...] Professional installation is a must unless you are really gifted. This kit is eligible for the 30% Federal solar tax credit and possibly state and local utility rebates, making it a pretty good [...]
May 25th, 2011 at 9:36 pm
I want to put solar electric panels on my vacation home in AZ that I rent out on holidays. I live in california and it seems like I dont qualify for the rebates. Any Ideas, I want to follow the laws.
June 14th, 2011 at 2:07 pm
My local power company has a $2,000 per Kw rebate, up to $20,000. If I put in a 10Kw system for $38,000, the rebate should be $20,000. But what would the tax credit be – the total cost of $38,000 or only my final cost of $18,000?
June 14th, 2011 at 5:59 pm
You need to check with your accountant, but in most cases, the rebate would be on the full amount.
June 25th, 2011 at 12:03 pm
I am adding an operator to my driveway gate. If I use solar vs electric, is my purchase eligible for the rebate?
June 27th, 2011 at 1:14 pm
You have the link to this device? Have you ask the dealer you are buying this from, about this?
June 29th, 2011 at 8:14 am
How about solar tubes (skylights)do they qualify ?
June 29th, 2011 at 4:19 pm
We looked into it and they do not qualify for the solar federal tax credit.
August 17th, 2011 at 12:09 pm
Someone else will be purchasing our small solar system for us(as a gift), will they receive the tax credit or us? We would rather they take it.
August 17th, 2011 at 4:19 pm
Check with your accountant. I’d think it is the payer.
March 29th, 2012 at 9:08 am
[...] of the Federal Tax Credit for Energy efficiency and install Energy efficient items such as solar panels, windows, doors, skylights, water heaters, furnaces, boilers, pellet stoves, etc at a nice [...]