Massachusetts Solar Power Incentives
Federal and state solar energy incentives change frequently, so make sure to request a free solar evaluation, so we can go over all incentives and rebates available to you.
These incentives and tax credits will lower the cost of your solar system significantly.
Federal Solar Investment Tax Credit (ITC)
A 26% federal solar tax credit is available for individuals that purchase and install a home solar system by December 31, 2022. The residential ITC drops to 22% in 2023 and ends in 2024.
Residential Renewable Energy Income Tax Credit
If you purchase a home solar system in Massachusetts you can use a 15% state solar tax credit. There's a maximum $1,000 state tax reduction.
The SMART program (Solar Massachusetts Renewable Target) offers a compensation per kilowatt-hour (kWh) produced by the solar system.
Property and Sales Tax Exemption
Property and sales tax exemption basically boils down to not paying any tax on power consumption for 20 years. The assessed value of your solar panels may very well have depreciated to almost nothing after that 20 year period which in essence means that your panels will never prove to increase property taxes. Further, there are no sales taxes on the system either.
Home Solar Project Sales Tax Exemption
Home solar systems are exempt from state sales taxes - 6.25%.
Mass Solar Loan Program
Qualified low-income Massachusetts homeowners can get a low-interest loan to help pay for a home solar panel installation.