Federal, State, and local governments understand the importance of sustainable energy and the high costs associated with traditional methods. Utility companies can’t afford to maintain their infrastructure costs as homes use more and more power. That’s why, in most cases, utility and tax incentives can save customers well over 50% on the cost of energy.*
*Ask your representative about which incentives you're eligible to receive. Please consult a tax advisor on your ability to claim these nonrefundable tax credits.
Federal ITC 22%
The solar investment tax credit (ITC) is a reduction of the income taxes that a person or company claiming the credit would otherwise pay the federal government. The tax credit is 22% of the homeowner's cost to install solar on purchases and installations performed in 2021. On leased systems, SunPower collects this incentive and passes the savings on to the homeowner! Hurry and take advantage of the ITC while it lasts, as this credit is scheduled to completely phase out by 2022.
INCREASE HOME VALUE
Having a residential solar energy system on your property is known as a capital improvement which adds to your property’s value. This means that you can potentially sell your home faster and for more than homes without solar. Your investment in efficient, clean solar power also adds to the tax basis of your home. If you sell the home, this tax basis investment can be deducted from the sales price, reducing the amount of the price counted as profit. This reduces the taxes taken from the sale and may be able to help you avoid capital gains taxes on appreciation.