Rebates and Tax Incentives for Going Solar

August 21, 2019

Arizona is one of the sunniest states in the country, so solar energy panels aren’t just popular—they’re an environmentally-conscious choice that can net property owners some serious savings. The state, along with the federal government, actually offers significant rebates and tax incentives to encourage citizens to partner with sun solar companies in Scottsdale, AZ.

Are you considering solar power, but aren’t sure if you can afford it? Do you want to talk to an expert before you invest in solar energy? Visit us at Aneva Solar. We don’t just offer the top products and skilled installation—we also have a passion for education, so every customer comes away understanding how their system can work for them.

Residential Solar Energy Credit

Arizona offers a residential solar energy credit up to $1,000. It’s based on the total cost of your system, and the rebate equals 25 percent of the total price. Plus, if the credit exceeds what you owe on taxes that year, the remainder will carry over for up to five years!

Federal Solar Tax Credit

Not only does Arizona offer solar energy credits, but the federal government does as well when you buy your own solar energy system outright. It’s called the Federal Investment Tax Credit (ITC). You can deduct 30 percent of the total cost of the system, but only after you deduct the state credits. In other words, if your system cost $10,000 and you deduct 25 percent for the state credit, you would be able to deduct 30 percent of the remaining $7,500.

You’ll want to act now, though: after December 31, 2019, the credit drops from 30 percent to 26 percent. After December 31, 2020, the credit will reduce even further, to 22 percent. For maximum savings, it’s in your best interest to install your solar power system before the end of 2019.

Sales and Property Tax Exemptions

Did you know that your solar energy system is exempt from sales tax? That’s a huge savings, considering that the Scottsdale, AZ sales tax is currently over 8 percent, and buying a solar power system outright can be quite expensive.

Installing a solar energy system also has property tax benefits: the value added to your home by solar power won’t be counted against your home’s value when it comes to property taxes. That means that the value added by the solar panels will be deducted from your home’s assessed value.

Ultimately, solar power is an investment, but the state and federal governments are eager to incentivize this clean energy. If you’re on the fence or aren’t sure if you can afford to install solar products, contact a sun solar company in Scottsdale, AZ. We’ll gladly help you find credits, discounts and incentives to make solar energy a reality in your home.

At Aneva Solar, we pride ourselves not only on the quality of our service and products, but on our dedication to customer care. We’ll help you find the right products for your lifestyle and install them quickly, professionally and using our years of expertise. If you would like to learn more, call the team at Aneva Solar today!

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