It’s October. We’re entering the homestretch of the year (2016) and with that we inevitably start to think about everyone’s least favorite subject. Taxes. Yes, we know, why are we bringing up taxes? Shouldn’t we be thinking about candy and bobbing for apples?
Well, as the leaves fall to the ground we’re reminded that the cyclical nature of things will always take course, and we need to be prepared to weather whatever comes next. That includes our finances, and, yes, the dreaded tax season. Uncle Sam always gets his…
With that said, now’s a great time to put more consideration into going solar.
“But isn’t it best to install solar panels in the summertime?”
Fair question.
The honest answer is, anytime is the best time to install solar. Once your system is primed, you’re off to the races and put yourself in position to greatly reduce and/or eliminate your electric bill. And, let’s add the following to the thought process; One of the challenges of great summer production is trying to navigate the natural shading that exists from the lush, green leaves looming large and leaving a ghostly imprint on your solar array. Totally normal. As we all know living here in New England, Fall calls in a season that causes a copious amount of leaves and pine needles fall to the ground. What does that mean? Well, a great reduction in those shadows beating down on your panels, which, in turn, means greater production. Winning!
Back to the task at hand…
Taxes.
As we begin to take a look at our annual earnings and subsequent deductions we try to maximize our personal return. Right? Of course.
Going solar not only saves you money in regard to your monthly utility costs, but also provides a great opportunity to earn a generous federal tax credit known as an Investment Tax Credit – ITC – (this after the fantastic rebate you receive on the state and federal level for your solar installation).
Well, what is it? What’s the credit?
30%.
That’s no small number, and there’s no cap on its value. However, the opportunity that exists is limited, so really, think solar this Fall. That 30% ITC will begin to decrease as the years continue on.
From www.energy.gov:
“A taxpayer may claim a credit of 30% of qualified expenditures for a system that serves a dwelling unit located in the United States that is owned and used as a residence by the taxpayer. Expenditures with respect to the equipment are treated as made when the installation is completed. If the installation is at a new home, the “placed in service” date is the date of occupancy by the homeowner. Expenditures include labor costs for on-site preparation, assembly or original system installation, and for piping or wiring to interconnect a system to the home. If the federal tax credit exceeds tax liability, the excess amount may be carried forward to the succeeding taxable year.”
According to EnergySage Solar Marketplace, the average solar shopper saved nearly $9,000 on the cost of going solar in 2015 thanks to the application of this ITC, making the investment and implementation of solar even more affordable for home owners looking to make a beneficial, clean switch when it comes to fulfilling the energy consumption source that services their property.
To that make switch here in the great state of New Hampshire contact the friendly, knowledgeable staff here at GoSolar NH.
