Federal Tax Credit and North Carolina Solar Rebate
Federal Tax Credit
You can claim a credit of 30% of qualified expenditures for a home solar power system that serves a dwelling unit located in the United States that is owned and used as a residence by the taxpayer. Expenditures with respect to the equipment are treated as made when the installation is completed. If the installation is at a new home, the “placed-in-service” date is the date of occupancy by the homeowner. Expenditures include labor costs for on-site preparation, assembly or original system installation, and for piping or wiring to interconnect a system to the home. If the federal tax credit exceeds tax liability, the excess amount may be carried forward to the succeeding taxable year.
2018 North Carolina Solar Rebate
In addition to the 30% Federal Tax Credit, with the passing of House Bill 589, as of January 1, 2018 each public utility company serving over 150,000 North Carolina customers, including Duke Energy customers are eligible to receive a new rebate incentive for residential systems up to 10 kW. The rebate includes nonresidential and in total is limited to 10MW installed per year (5MW for residential) continuing through December 31, 2022.
We are on top of the latest developments regarding solar rebates and tax incentives/credits. Although the exact amount of the solar rebate has yet to be determined, we will keep you updated as new information is available. Now is a great time to give us a call and talk about your energy goals.