Solar Panel Installations in the Future
It can be difficult to determine how long the ongoing solar energy trend will continue, but consumers can potentially generate substantial savings from installing a solar energy system at their home or business. Current tax credits apply for systems installed between January 1, 2006, and December 31, 2023, irrespective of if the system is located at your primary or secondary residence. Expenses that are covered include the following:
- Solar panels
- Contractor and labor costs
- Equipment expenses
- Energy storage device expenses
- Sales taxes on eligible outlays
You can avail of the current 22% tax credit even if you are not the homeowner, and systems installed in vacation homes are also eligible. You do not need to be connected to the public grid either; as long as the installation is in the United States, at a home or commercial location, and irrespective of how you finance it (in installments or via upfront payment), you can claim your credit. The only exception is for systems that have been paid for but not yet installed, since the credit is meant for systems that begin operation and are in service during covered years.
