Good News! If you missed out on the FTC for 2019 that credited you back 30% of the cost of your solar panel system, you could still take advantage of the solar panel federal credit, which for the year 2020 is 26 percent. So, if you’re planning to install a solar panel for your home or business, and you’re not sure whether it’s worth it. Hopefully, this will give you the added incentive to do so immediately
You will get a discount of 26 percent of the total value of the solar panel. The tax credit for 2020 is slightly smaller than that of 2019, which was at 30 percent, so you might want to take advantage of this before it goes even lower.
How can I get a solar panel federal tax credit?
Let’s do the mathematics! Let’s say you plan to purchase an average-sized solar panel with a cost of $18,000. With the tax break, the cost will be reduced by a whole $4,680, thus reducing the price to $13,320, which is a tremendous amount of savings.
It is essential to take advantage of the Residential Renewable Energy Tax Credit before the deadline passes. It is an excellent way to save a significant amount of money. The price of the solar panels varies depending on the size and the company you’re dealing with. However, at Solar Solutions, we make sure to give you the best in quality and service to ensure that you know exactly what your cost will be before we even begin the installation.
Why you should use solar energy
There are several reasons why solar energy is a better option than other types of energy sources. First of all, you will spend less energy on your utility, thus saving you money. The savings can then be applied to other uses. Another reason is that solar energy is better for environmental conservation.
If more people adopt using solar energy, there will be a reduced demand for fossil fuels. Various studies have shown that homes that use solar energy save up to $1000 on expenses, which applies even in less sunny regions such as Connecticut and Massachusetts.
You can get the Federal Tax Credit by subtracting the credit amount from the total tax imposed by the IRS. The amount of Federal Tax break does not have a limit on the type of solar you buy. In case you are unable to use your entire credit tax break this year, you may be able to carry it forward into later years.
Which types of solar qualify for the tax credit?
There are limited types of solar panels that qualify for the federal tax credit. Only solar panels that are allowed by the IRS qualify for the federal tax credit, which implies that they are multipurpose solar panels. Schools are qualified for the federal tax credit as well as those who want to buy the solar panels on a loan. Please be ensured that Solar Solutions uses Government approved solar panels for your home or business installation so you can take advantage of the FTC.
If you live in a property that you do not directly control, you are not eligible for the solar panel federal credit. The company that leased the solar panel will be the one getting the FTC.
Get Your Estimate Today
Getting a solar panel federal tax credit is good news for both homeowners and businesses. Please visit us and let us give you a free, no-obligation solar savings estimate for your home or business.