Federal Solar Tax Credit (ITC)
The Solar Investment Tax Credit (ITC) is a dollar-for-dollar federal tax credit which reduces a person or business’ tax liability based on the amount they have invested in a solar energy project. The residential and commercial ITC are both worth 30% of a solar project’s cost though 2032. For example, a $10,000 solar electricity system will be eligible for a $3,000 federal tax credit. Customers that purchase or finance their system through a solar loan are eligible for this incentive.