2019 Federal Tax Credits & Solar Incentives

August 29, 2018

Solar is not just the wave of the future, it is happening now! Solar energy systems, like the ones we build, install, and maintain here at SunPower by BlueSel, are not only environmentally friendly, but they contribute to our nation’s energy independence. They provide more jobs than the coal, oil, and gas industries, and they are also good for your wallet!Nishit S. Shrewsbury, MA

In order to encourage future growth in this industry, the United States government offers federal tax credits and incentives to homeowners choosing to use solar energy to run their homes. Unfortunately, these credits and incentives are not likely to last forever, so now may be the time to act to get the benefit! Read through this blog to learn what to expect if you’re looking to utilize solar now, or looking to harness the power of solar energy in the near future.

The Investment Tax Credit

The federal solar tax credit, also known as the investment tax credit (ITC), allows homeowners and businesses to deduct 30 percent of the cost of installing a solar energy system from federal taxes. The ITC applies to both residential and commercial systems, and there is no cap on its value. The good news for homeowners is that went solar in 2018 still received the 30 percent solar investment tax credit (ITC). However, the credit will drop to 26 percent after 2019, and down to 10 percent in 2021. The end of this credit is estimated to be in 2022, but please stay alert to federal changes before you invest in solar for your home or business.

In 2019, homeowners still benefit. It’s the last year homeowners can receive 30% tax credit when going solar.

panels on wood siding houseIn Addition To Federal Tax Credits For Solar Panels…

Did you know states also offer incentives to go solar? The Massachusetts state solar tax credit is 15% of the cost of a solar system up to a maximum of $1,000. Usually, states have either a solar power rebate program or a tax credit, but not both. In Massachusetts, however, we have both!

Where to Find Information on Solar Tax Incentives…

When you’re looking for solar tax information by state, be sure to visit a .gov website like this one for Massachusetts. Here you can locate your state regulations and information in which you will communicate with your provider when you inquire about solar energy.

Massachusetts has legislation that requires utilities operating in the state to source a certain percentage of their electricity from renewable sources. This program, called “Solar Carve-Out”, which is a part of the Massachusetts Renewable Portfolio Standard, is designed to facilitate the development of solar photovoltaic (PV) energy. It mandates that a certain percentage of the state’s total electricity supply must be provided by solar PV. This percentage shall increase each year until 400 Megawatts (MW) of PV is installed, providing approximately 1% of the state’s total electricity supply.

When You’re Planning for Solar Installations…technicians carrying panel

This means that if you own or are planning to install a solar PV project that meets the eligibility requirements, you may submit a Statement of Qualification Application located on DOER’s website (www.mass.gov/doer).

Not only does the state of Massachusetts provide incentives to go solar, but SunPower by BlueSel offers Solar Payment Options for your needs. This is an incentive alone. Paying for solar Most homeowners find that they save 30% on their utility bill once their panels start collecting energy. Once the site has been evaluated and the proper permits have been granted from local municipalities, installation is scheduled. The process usually can be finished in 1-2 days. Reach out to SunPower by BlueSel at 781-281-8130 to get started saving and utilizing this renewable resource.