Did you know that solar power generation is set to account for 30% of all energy in 2050? Our national shift toward solar energy as a viable and accessible power source has been a driving factor toward self-sufficiency and independence from the constraints of the national power grid.
If you want to implement solar power into your home system, many solar incentives are available to kick start your endeavor. This guide will introduce you to the idea of solar power as an asset to your property.
Read on to learn more about the top 3 solar energy incentives.
1. Federal Solar Tax Credits
The federal home solar energy credit is a federal income tax credit that offsets a percentage of your solar panel installation costs. Although other renewable energy sources are eligible for equivalent credits, they are outside the scope of this guideline.
Your system must be operational during the tax year and produce electricity for a residence in the United States to get federal solar incentives. The IRS does not have a solid definition of “operational.” However, you must complete your installation to be eligible for this credit.
The current scheme expires in 2024 and has no maximum limit for payments.
2. Tax Exemptions
Property tax exemptions allow companies and households to deduct the increased value of a solar system from their property valuation.
An exemption makes installing a solar system on the roof of a home or commercial property more affordable. Property taxes are paid at the municipal level. So, several states have given local authorities the power to authorize local solar incentives. Solar property tax exemptions are available in 36 states.
If your property value appreciates, states with renewable energy property tax exemptions are protected against corresponding increases in property taxes. This is an excellent safeguarding measure for your home’s value.
3. Bonus Payments
A few incentive programs also focus on enhancing the cash flow of your solar system. Solar power system owners receive extra money for every kilowatt-hour generated.
Because this sort of incentive is so appealing, there is usually a capacity limit soon filled. The incentive is more significant for early investors and progressively decreases as the program achieves its goal. Register your interest early for the maximum return on your investment.
Visit blueravensolar.com/cost-of-solar/ to learn more about how a solar system can save you money and generate passive income.
How Solar Incentives Help You Save on All Fronts
Installing solar panels on your property increases your energy efficiency and helps you cut your bills through a renewable power source.
Moreover, it is more logical than ever to consider federal and local solar incentives when planning a home. We hope this guide serves as a solid launchpad for your future solar endeavors.
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