💡The solar tax credit is a dollar-for-dollar reduction in income tax.
✅To qualify for the solar tax credit, the solar system must be installed last year.
📝To claim the solar tax credit, you need to fill out IRS Form 5695.
💰The solar tax credit is currently 30% of the total solar panel system cost.
📆If the tax credit exceeds your tax liability, you can carry over the unused amount to the next tax year.
Can I claim the solar tax credit for used solar panels?
—No, the solar tax credit can only be used on new equipment.
Does the solar tax credit apply to mobile solar systems?
—Yes, you can claim the solar tax credit for mobile solar systems.
Am I eligible for the solar tax credit if I financed my solar system?
—Yes, you can still claim the solar tax credit if you financed your solar system.
Can I get a refund if the solar tax credit exceeds my tax liability?
—No, the solar tax credit is non-refundable. However, you can carry over the unused amount to the next tax year.
Is the cost of a roof replacement eligible for the solar tax credit?
—No, the cost of a roof replacement does not qualify for the solar tax credit.
00:00Learn how to easily claim a solar tax credit for your solar system installation.
01:17Find and open IRS Form 5695 and the instructions for filling it out.
02:37Fill out the form with your personal information and the cost of your solar system.
03:27Calculate the tax credit amount by multiplying the system cost by 30%.
04:43Report the tax credit on Schedule 3 of Form 1040.
05:55Answering frequently asked questions about the solar tax credit.
