Solar Energy Rebates
Under the new California Solar Initiative, California solar power rebates and tax incentives can cut the cost of your system by as much as 60%. But solar energy rebates go down the longer you wait, so it pays to install solar now for your home or business.
Here are some of the solar energy rebates and tax incentives available:
Solar Energy Rebates
Utility rebate programs are available up to 30% of the total cost of the system.
Federal, Investment Tax Credit
Residential – 30% Energy Tax Credit, IRS Form 5695
Commercial - 30% Investment Credit, IRS Form 3468
Federal, Pre-1936 Buildings
10% Investment Credit, IRS Form 3468
Federal, Certified Historic Structures
20% Investment Credit, IRS Form 3468
Federal, Agricultural Credits
10% Investment Credit, IRS Form 3468
Federal, Depreciation
Business - Section 179 Deduction (up to $250,000 for 2009) plus 50% Bonus Depreciation and/or 5 year MACRS Depreciation
State, Depreciation - California Solar Power Rebates
Business 5-Year depreciation method for non-Corporate
12-Year Class Life/Recovery period for Corporate Business Taxpayers
State, Property Tax Exempt - California Solar Power Rebates
Solar installations are property tax exempt .
(California Revenue and Taxation Code Section 6353.5)
Property Value
An increase in property value by 3% (according to Appraisers Journal)
ROI
3 to 8 year return on investment, 25 year positive after tax cash flow.
(It compares to a 15% CD)
