The Sun Is Setting on the 30% Solar Tax Credit
The solar tax credit has been with us since 2005. In its current form, it provides a 30% tax credit for the installation of a solar system to generate electricity or for a solar hot water system. This allows a homeowner to directly subtract 30% of the system’s cost from his or her final taxes owed. That’s a dollar-for-dollar reduction in taxes due. Real money.
The credit is slated to be reduced at the beginning of 2020. To qualify for the full 30% credit, a system installation must be completed by December 31, 2019. In 2020, the tax credit will be reduced to 26%. In 2021, it will be reduced again to 22%.
At the beginning of 2022, the tax credit will no longer be available with the exception of a 10% credit for commercial installations.
The credit has helped many homeowners go solar. In Davis alone, there have been 3,592 rooftop solar installations as of Dec 31, 2018. Visit the Cool Davis Rooftop Solar web page for more information (tinyurl.com/gosolardavis).
A little paperwork can go a long way
To take full advantage of the credit a homeowner must file an IRS form 5695 with their federal tax filing. Based on the average size solar system, the credit is worth more than $5000.
If you are not in a position to take advantage of the full credit by the end of this year, you can carry over the unused credit for five years, though it is not clear whether a credit can be carried over after the tax credit expires in 2022.
A solar installation begins to save you money on your electrical bill the moment it is hooked up to the grid. Now is a good time to look into the benefits of a rooftop solar energy system.
Check out the links below for more information on going solar:

For more information
IRS Form 5695 https://www.irs.gov/pub/irs-pdf/f5695.pdf
Instructions for IRS Form 5695 https://www.irs.gov/instructions/i5695
Cool Davis Incentives page https://www.cooldavis.org/resources/incentives-and-rebates/
Cool Davis blog post: “Solar water heating systems: Cost effective and carbon reducing” https://www.cooldavis.org/2018/11/16/solar-water-heating-systems-cost-effective-and-carbon-reducing/
Cool Davis Rooftop Solar web page (tinyurl.com/gosolardavis).
Cool Davis blog post: “Rooftop Solar: Partial Fixes for Partial Shade” https://www.cooldavis.org/2018/05/17/rooftop-solar-partial-fixes-for-partial-shade/
Renewable Energy Federal Tax Credit – Solar and Solar Hot Water
https://www.energy.gov/savings/residential-renewable-energy-tax-credit
https://www.energystar.gov/about/federal_tax_credits/2017_renewable_energy_tax_credits
Tags
FACEBOOK FEED
Renewable diesel is 50% to 85% less carbon emissions intenstive. Thanks Steve Hampton for the post. thecottonwoodpost.net/2021/01/26/the-renewable-diesel-revolution-how-california-is-reshaping-worl... ... See MoreSee Less

The renewable diesel revolution: How California is reshaping world oil markets
thecottonwoodpost.net
Despite all the attention on the new Biden Administration’s efforts to combat climate change, one state, California, is reshaping the world’s oil markets through its progressive climate…TWITTER FEED
Watch the video recording of the Cool Davis Q1 Coalition meeting. Super informative! Featuring Michael McCormick, Cool Davis Board Chair, and @VCleanEnergy overview and details with Mitch Sears, Valley Clean Energy General Manager. @CityofDavis
https://youtu.be/99ruMePEO7Y
Short and sweet March newsletter: Read about ... Kim Stanley Robinson, Electric Trucks, Resilience Preparations, Public Bank, Awesome Volunteers, and upcoming @cityofdavis Environmental Recognition Awards. Spread the word about electric trucks @SacEV! https://www.cooldavis.org/civicrm?civiwp=CiviCRM&q=civicrm%2Fmailing%2Fview&id=1027
Every bit of emissions saved in Davis helps reduce climate impacts for the most vulnerable here and around the world. Donate here: @CityofDavis

Donate to Cool Davis - Cool Davis
Your donation today, helps households adapt to impacts and reduce emissions locally and around the world! Donate to Cool Davis now!
www.cooldavis.org
Find out if you qualify for tax credits and rebates here! @CityofDavis #livecooldavis

Rebates and Tax Credits - Cool Davis
Davis CA residents can save money with federal, state, and utility incentives, including tax credits, rebates, and grants.
www.cooldavis.org
Purchases of ”The Ministry For The Future” by Kim Stanley Robinson at @AvidReaderBookstore in Davis include a bookplate signed by the author! 12 in stock now!
https://www.avidreaderbooks.com//?q=h.calevent&eid=11720