Did you know that businesses with commercial solar power systems can get tax credits? The Federal Government put tax incentives in place for individuals and businesses that implement solar power systems. Keep reading to learn more about solar tax credits and contact Alternative Energy Systems if you have any questions!
The Ultimate Guide To Solar Tax Credit For California Business Owners
The Ultimate Guide To Solar Tax Credit For California Business Owners
What Are Tax Credits?
Tax credits are financial incentives offered by the government that allows taxpayers to reduce the amount of money they owe in taxes. They are essentially a dollar-for-dollar reduction in the taxes you owe, meaning that a $1,000 tax credit will reduce your taxes by $1,000. Tax credits are particularly beneficial for those who are already paying a high amount of taxes, as they can reduce the overall amount that they owe in taxes.
About Federal Solar Tax Credits
Federal solar tax credits are a great incentive for California business owners who are considering investing in solar energy. This tax credit allows business owners to receive a credit of up to 30% of their total solar energy system costs. This tax credit can be used to offset any income or sales tax liability that your business may have.
How Long Does It Last?
Federal Government solar tax credits will expire in 2035 if the government doesn’t decide to continue the tax incentives. It is expected that Congress will decrease solar tax credits to twenty-six percent for commercial solar systems installed in 2033. In 2034, it will be decreased again to twenty-two percent.