More homeowners each year are experiencing the benefits of solar installed on their home, either in a reduction of electric bills or an elimination of electric costs – depending on the amount of energy production.
Did you know that many utility experts believe by 2020 the majority of new single-family homes built in California will include solar?
Utility rates are going down in cost for some California homeowners. It’s not that they are consuming less energy than others, or cutting back on lifestyle; these homeowners are tapping into free energy provided by the sun and captured by rooftop solar panels.
According to Scudder Solar Energy Systems in Monterey County, many of their customers install solar to save money, add value to their home and reduce their effect on the environment by increasing energy efficiency.
Solar energy is more affordable than ever with a variety of payment plans, as well as tax credits from state and federal programs. In fact, some homeowners are installing solar on their homes with no money down or out-of-pocket cost to get started.
One of the biggest incentives available at the moment is a 30 percent federal tax credit.
According to Energy.gov “A taxpayer may claim a credit of 30% of qualified expenditures for a system that serves a dwelling unit located in the United States that is owned and used as a residence by the taxpayer. Expenditures with respect to the equipment are treated as made when the installation is completed.
“If the installation is at a new home, the “placed in service” date is the date of occupancy by the homeowner. Expenditures include labor costs for on-site preparation, assembly or original system installation, and for piping or wiring to interconnect a system to the home. If the federal tax credit exceeds tax liability, the excess amount may be carried forward to the succeeding taxable year. The maximum allowable credit, equipment requirements and other details vary by technology, as outlined below.
- 30% for systems placed in service by 12/31/2019
- 26% for systems placed in service after 12/31/2019 and before 01/01/2021
- 22% for systems placed in service after 12/31/2020 and before 01/01/2022
- There is no maximum credit for systems placed in service after 2008.
- Systems must be placed in service on or after January 1, 2006, and on or before December 31, 2021.
- The home served by the system does not have to be the taxpayer’s principal residence.”
Scudder professionals is experienced in helping customers navigate the financing and tax break options. Scudder Solar is a full-service solar electric design and installation company providing residential and commercial solar panels in Monterey, Santa Cruz and San Benito counties. As a full-service solar firm, they cover everything you need from start-to-finish, including monitoring and maintenance as well as permitting packages.
For a free solar quote, call Scudder Solar at (831) 384-3900, or visit them online at www.scuddersolar.com.