The federal government offers a 30% tax credit for the cost of installing solar panels, energy storage devices, and installation expenses. The credit is nonrefundable, so you can’t receive more than you owe in taxes. However, you can carry forward any unused credit to future years.
SRECs, or Solar Renewable Energy Certificates, represent the environmental benefits of generating electricity from solar energy. When a solar panel system generates one megawatt-hour (MWh) of electricity, it earns one SREC. These certificates can then be sold in a market separate from the electricity itself, providing an additional revenue stream for solar system owners. The value of SRECs fluctuates based on supply and demand within specific markets, often driven by state-level renewable portfolio standards (RPS) that mandate a certain percentage of electricity to come from renewable sources. Utilities or other obligated parties can purchase SRECs to meet these mandates, effectively supporting the growth of solar energy. Please check with your local agencies to see if your area qualifies for SREC credits.
Several states offer sales tax and/or property tax exemptions on solar energy equipment, making it more affordable for homeowners to go solar (this information is subject to change without notice based on changes to state laws).
Click on your state below to be redirected to the official solar credit page provided by your state government office:
Therefore, it’s always best to check with your state’s tax authority for the most accurate and up-to-date information on solar sales tax exemptions in your area.
Florida License: CVC57038
Florida License: BC1264642
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