If you’ve considered renewable energy sources for your home and are interested in going solar, there’s never been a better year than 2022. Adding solar to your Fort Collins, CO or Austin, TX area home with the 26% federal solar tax credit rate is an excellent way to boost the value of your property, reduce your monthly energy bills, and enjoy a reduced carbon footprint.
Read on to learn more about the CAM solar team and all the benefits of going solar in 2022 with us, your local reliable solar provider near you.
2022 IS THE FINAL YEAR FOR 26% OF THE FEDERAL SOLAR TAX CREDIT
Many homeowners assume that solar installation is costly, but federal and local incentives can significantly offset the cost of a new solar PV system. One of the most impactful solar energy tax credits in 2022 is the Federal Solar Tax Credit commonly referred to as the Federal Solar Investment Tax Credit (ITC).
The ITC is one of the most generous solar incentives to date. In 2022, the solar tax credit will reduce homeowners’ tax liabilities by up to 26%! However, this amount is scheduled to drop at the end of this year, making now a great time to get moving on upgrading your home with solar panel installation.
Here’s a snapshot of how the ITC credit will decrease in the coming years:
- 2021 -2022: 26%
- 2023: 22%
- 2024: 0% FOR RESIDENTIAL / 10% FOR COMMERCIAL
WILL THE SOLAR TAX CREDIT BE EXTENDED?
With the development of the Build Back Better bill, many within and outside of the solar industry have asked this very same question. The truth is, we just don’t know.
While the government sorts through every detail of this complicated and extensive piece of legislation, it’s impossible to say what will be prioritized. This is why CAM Solar recommends moving quickly to earn your maximum solar tax credit while the program is guaranteed to be available. Don’t wait—go solar now!
DOES THE SOLAR TAX CREDIT APPLY TO SOLAR BATTERIES?
Yes! You can be eligible for the ITC credit towards both components of your solar system so long as your solar battery is exclusively charged by a renewable energy source (not the grid). By adding a solar battery like the Tesla Powerwall or Enphase Encharge to your home system, you can disconnect from the grid, operate your home on 100% renewable energy, and say goodbye to power outages for good—all while earning money back on your qualifying installation with the ITC tax credit.
Solar battery systems are easily installed and store excess energy produced by your solar PV system for use at night, during power outages, or even through rolling blackouts as a result of increasing fire risks, making solar batteries a very smart addition to your home solar system.
HOW DO YOU QUALIFY FOR THE SOLAR TAX CREDIT IN 2022?
Most homeowners qualify for the solar ITCwhen going solar! Eligible projects must meet the following requirements:
OWN AND LIVE IN YOUR HOME
OWN YOUR SOLAR PANELS (LEASED SYSTEMS ARE NOT ELIGIBLE)
EARN TAXABLE INCOME
FILE FOR THE CREDIT IN THE SAME TAX YEAR YOU INSTALLED YOUR SOLAR PV SYSTEM
WHY CAM SOLAR IS THE BEST SOLAR COMPANY NEAR YOU
Boost your tax return by upgrading to solar in 2022! CAM Solar is an experienced and trusted solar installer in Fort Collins and beyond, offering solar systems that will help you convert sunlight into free energy.
CAM Solar offers a variety of solar offers and promotions to help you enjoy affordable solar installation, and also tracks both Colorado rebates and incentives as well as Texas rebates and incentives, so you don’t have to. Learn more about our past experience and what’s possible for your home by browsing our past solar projects.