Solar Tax Credits 2024: How to Maximize Your Savings

The Federal Solar Tax Credit

The federal solar Investment Tax Credit (ITC) is one of the most significant incentives for going solar. In 2024, the ITC allows you to deduct 30% of your solar system cost from your federal taxes.

How It Works

The tax credit reduces your tax liability dollar-for-dollar. If you install a $20,000 solar system, you can claim a $6,000 tax credit (30%). This credit can be carried forward if your tax liability is less than the credit amount.

California Solar Incentives

In addition to the federal credit, California offers:

• Property tax exemption for solar equipment
• Net metering programs
• Utility rebates (varies by utility)

Maximizing Your Savings

To maximize your solar savings:

1. Install before the credit decreases
2. Take advantage of all available incentives
3. Choose the right system size
4. Work with a qualified installer