by Kelly Anderson, on Mar 20, 2020 4:36:00 PM
The answer may surprise you.
It’s tax season, and that means if you’ve invested in a solar panel system in 2019 or before, you may be eligible to take full advantage of the 30-percent federal solar tax credit. It’s one of the best reasons to invest in a system, even though the program is currently experiencing some changes. But some homeowners may wonder whether or not they can also claim their rental properties on their taxes to receive benefits. The answer is maybe -- but there are some strict guidelines. Want to learn more? Keep reading.
See Also: The Step by Step Process of Going Solar: Part 1
What Is the Solar Investment Tax Credit?
For systems installed before the end of 2019, homeowners can deduct up to 30-percent of the cost of their installation from their federal taxes. There is no cap on the potential value, and the average homeowner can save thousands on their system.
It’s just one of the many ways you can save, and potentially lower your monthly energy bill, with a solar panel system added to your home. Even though the ITC has changed in recent months, a federal extension still allows homeowners who buy now to save considerably on the cost of a new system.
Can I Claim the Tax Credit on Rental Properties?
If you own rental properties in Illinois, you may wonder what your potential savings could be. The ITC is available for both residential and commercial customers, so can you apply it to your revenue-generating housing?
The answer is no, you can’t claim ITC on your rental properties unless you live there for a portion of the year. For instance, if you live there for three months out of twelve, you can claim 25-percent of the ITC.
Work with a Premium Service
At Summit Solar, our goal is to save you money with premium solar systems. If we can’t do that, we won’t pressure you into buying a system from us.
Thanks to our comprehensive shading analysis, we can tell you how much sunlight your home receives in a year and deliver an accurate estimate of how much you could potentially save thanks to ITC, Illinois net-metering, and SREC.
If you’re interested in working with a white-glove, premium service to help you go solar the easy way, we want to help you succeed. Click here or give us a call at 888-884-3557 today!
