(By the way: we are not tax consultants, Those guys get BIG bucks. We are just translating what we understand here, and do not get BIG bucks for this info. So please always consult your tax professional for exact info pertaining to you... and be prepared to pay them the BIG bucks;)
What are the individual tax incentives for
Homeowners can receive a 30% tax credit of the product cost and installation costs including the Solatube Daylighting System that delivers the sunlight to the solar panels of the above mentioned products as qualified solar electric property expenditures including labor cost defined in IRS Form 5695 and 26 U.S. Code § 25D - Residential energy efficient property.
See our Manufactures Certification here.
What Solar Light products are eligible for the federal tax credit?
The following products qualify for the tax credit:
What Solar Light products are not eligible for the federal tax credit?
The following products do not qualify for the tax credit:
Do Solar Light products installed in my second home or rental property qualify?
Yes, however the Tax forms needed are different than for traditional residential installations.
Questions related to Solar Star Attic Fans
What is the Emergency Stabilization Act of 2009?
On Oct. 3, 2008, George W. Bush signed the Emergency Stabilization Act of 2009, which extended the credits available for solar-powered energy systems and expanded the qualifying product requirements. This allows for a 30% tax credit on the purchase and installation of residential solar water heating, photovoltaic equipment, and fuel cell property.
Essentially, this means there are three main areas of 30% tax credit available:
What Solar Star products are eligible for the federal tax credit?
The solar panel portion of all Solar Star Attic Fans, both roof and interior mount models, qualify for the category "solar energy systems: photovoltaic systems" as defined below:
"Property that uses solar energy to generate electricity for the residence and must meet applicable fire and electrical code requirements."There are no specific technical requirements for photovoltaic systems. But all installed Solar Star Attic Fans must meet applicable fire and electrical code requirements to qualify.
What are the tax incentives for Solar Star Attic Fans?
Homeowners are eligible for tax credits for qualified photovoltaic systems purchased and installed between Jan. 1, 2009, and Dec. 31, 2016*.
For solar photovoltaic (PV) systems, the allowable tax credit is 30% of the qualified PV system expenditures, including both product and installation costs. For solar-powered attic fans, both the solar panel portion of the product and the labor costs associated with the installation can qualify for the tax credit.
Is there a cap on the tax credit?
There is no credit cap for residential photovoltaic systems placed into service after Dec. 31, 2008.
Do Solar Star products installed in my second home or rental property qualify?
Existing homes and new construction qualify. Both primary and secondary homes qualify. Rentals do qualify, however the credit is applied for through a different form for business tax credits ( IRS Form 3468)
Are the Solar Star DIY kits eligible?
Yes, Solar Star Attic Fan DIY Kits – both roof and interior mount kits – are eligible as long as they meet the qualifying criteria and all applicable fire and electrical code requirements.
Are Solar Star products eligible even though they aren’t ENERGY STAR® rated?
An ENERGY STAR rating is not required for the photovoltaic system tax credit eligibility program.
General questions about tax credits
What is the difference between a tax deduction and a tax credit?
A tax deduction is subtracted from income before total tax liability is computed. On the other hand, a tax credit is subtracted directly from the total tax liability.
What does the homeowner need to claim the tax credit?
To qualify, tax payers should retain information that includes:
Where do homeowners go for the IRS form?
Click here for IRS Form 5695, which is available on the IRS.gov website.
Are there local incentives for my county and/or city?
Many local utilities provide financial incentives for energy-efficient products. To find out if rebates or incentives are available in your area, visit the ENERGY STAR rebate finder at www.energystar.gov.
For additional information, please visit your state energy office website for specific state tax information or go to http://www.dsireusa.org/ to view the database of State Incentives for Renewables and Efficiency.
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