Looking for SOLAR incentives? we can help

FEDERAL SOLAR INCENTIVES

With expertise and involvement at the national level, we can help your organization take full advantage of the solar incentives offered by the U.S. federal government.

The Investment Tax Credit

The ITC provides up to a 30% federal tax credit for eligible costs to the owner of a solar project. Additional tax incentives may be available depending on the specifics of the project. This incentive increased with the passing of the Inflation Reduction Act of 2022. For more information visit:

• Solar Investment Tax Credit (ITC)
• Inflation Reduction Act of 2022

Accelerated Depreciation

Solar assets qualify for the Modified Accelerated Cost Recovery System (MACRS) accelerated depreciation schedule which allows depreciation of 70% of the depreciable basis of the project in the first three years, and the rest in the following three years.

• 1The U.S. Investment Tax Credit (ITC) is a solar incentive that provides a 26% federal tax credit for
  eligible costs of going solar. This savings opportunity decreases 4% next year to 22%. In 2022, the
  incentive decreases significantly to 10%. You only have until the end of December 31, 2021 to take advantage of these substantial tax benefits.
• 2Thanks to an IRS provision called Safe Harbor, you can preserve the 26% credit this year. There are two
  ways a company can qualify: The Physical Work Test or The Five Percent of Cost Test. If a project satisfies
  either one of these tests, it can still qualify for the full 26% tax credit as long as it is completed and in
  service BEFORE January 1, 2024.
• 3Bonus Depreciation: Solar systems qualify for 100% bonus depreciation in year one. The Modified
  Accelerated Cost Recovery System (MACRS), is a method of depreciation in which a business’ investments in
  certain tangible property are recovered, for tax purposes, over a specified time period through annual
  deductions.
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