Incentives and Tax Credits

Incentives and Tax Credits

Residential taxpayers can receive a Federal tax credit of 26% of the cost for purchasing and installing a photovoltaic system. The credit is applied directly to your Federal tax, as opposed to simply being tax-deductible. Unused credit may be carried forward. For residential taxpayers, see IRS Form 5695.

Arizona residents can take a direct credit to their Arizona state taxes of 25% of the cost of purchasing and installing a photovoltaic system. The maximum tax credit per residence is $1,000 and may be carried forward for five years. See AZ Form 310 for details.

Commercial taxpayers can receive a Federal tax credit of 26% of the cost for purchasing and installing a photovoltaic system. Commercial customers may also take accelerated depreciation (5-years). The 26% Federal tax credit is available through 2020, decreasing to 22% in 2021. For commercial taxpayers, see IRS Form 3468 for details.