Washington State Solar Incentives
Washington State has a new solar incentive program that rewards homeowners 6.5% to 10.4% for going solar in the form of a sales tax exemption! This is a $2,000 incentive, for a typical sized system. The exemption is included in the 100% Clean Energy Act, signed into law on May 7, 2019. All systems installed after June 30th will be 100% exempt from state sales tax, resulting in a lower system cost and a faster payback.
The Clean Energy Act is also a huge win for clean energy because it mandates that all electrical utilities in Washington State transition to 100 percent, carbon-neutral electric supply by 2030, and 100 percent carbon-free electricity by 2045!
26% Federal Tax Credit
NOTICE – The tax credit will be reduced to 22% for the 2021 tax year.
Solar power is now an even smarter, more affordable investment, thanks to the Federal Government! When you go solar, you can take a tax credit on your next tax filing, whether that is tomorrow or months away. If your system in installed in 2020 you will be entitled to claim a 26% tax credit from the total cost of your solar system. You can spread the tax credit through the succeeding taxable year, in the event you do not have enough tax liability in the current year. This ensures that you receive the maximum benefit possible under this great solar incentive program! The tax credit decreases to 22% in 2021 and 0% for 2022 and afterwards.