Solar Tax Credit: How to Claim It and More | GOBankingRates
www.gobankingrates.com
About: In addition to cutting your monthly power bill, installing solar panels can also earn you a fat tax credit. The solar tax credit encourages renewable energy use by financially incentivizing clients. But act fast - with an incoming presidential administration that has been outspoken about its opposition to green initiatives and its desire to cut federal expenditures, the solar tax credit could be reconfigured at finest, and potentially even eliminated at some point. What Is the Solar Tax Credit? The solar tax credit, formally known as the Residential Clean Energy Credit, is a federal tax incentive for installing new, certified clean energy property in your house between 2022 and 2032. The credit is currently at 30%, but that will step down to 26% in 2033 and 22% in 2034. Tax credits work by offering a dollar-for-dollar reduction of the income tax you owe. For example, if you have $2,000 in qualifying solar expenses in 2024, you can claim a tax credit of $600. If your overall tax...
