Iowa Solar Panel Incentives

Iowa residential solar tax credit.

Iowa solar panel incentives. Annual power production per kw of solar panels. Still the state s low and no interest rate loans rebate programs tax incentives performance based incentives and other programs have promoted some solar installations. The electricity produced is credited as solar renewable energy credits srecs the value of which fluctuates by the rule of supply and demand. Iowa state income tax credit.

Iowa s most impactful incentive for promoting solar system installations takes the form of tax credits. At the end of 2020 the amount of the credit will decrease from 26 to 22 of the cost of the solar installation. Even without great statewide rebates there are ways to reduce the cost of going solar. From your state income tax in iowa you can deduct 18 of the cost of your solar system up to 5 000.

As of sep 2020 the average cost of solar panels in iowa is 2 53 per watt making a typical 6000 watt 6 kw solar system 11 238 after claiming the 26 federal solar tax credit now available. Solar incentives rebates and tax credits available in iowa in 2020 the most significant incentive to install solar panels for homes and businesses is the federal solar tax credit. Passed in 2012 the solar energy systems tax credit offers residents a 15 percent tax credit when purchasing a new solar energy system with a 5 000 maximum credit amount. Check out the most significant incentives that will sweeten the deal for solar in iowa.

In some other states. Applications are due may 1st 2020 for installations completed by december 31 2019 solar energy system tax credits the application for the tax credit is available online within the tax credit award claim transfer administration system cactas. Under this credit when you install a solar panel system at your home you get 15 of the system cost back on your iowa state income tax with a 5 000 maximum credit amount. The system is designed so that once you have submitted an application you can later sign into the system to track its status.

The application for the iowa credit cannot be made for individuals until the installation of the solar energy system is complete. Qualifying installations must meet the criteria for the federal residential energy efficient property credit related to solar energy provided in sections 25d a 1 and 25d a 2 of the internal revenue code. Iowa lacks a statewide rebate program to encourage renewable power solar or otherwise. When it comes to clear cut state solar incentives it doesn t get a lot simpler than the ma renewable income offer.

This is lower than the average price of residential solar power systems across the united states which is currently 2 60 per watt. Iowa solar tax credits. You have the 30 itc from the federal government an 18 tax credit from the state government full sales tax exemption and a 5 year property tax exemption. While iowa promotes renewable energy and solar power the policies aren t particularly robust which hasn t resulted in big industry growth.

Iowa solar incentives iowa solar power rebates.