State Tax Credit For Solar Panels Hawaii

You put the cash up front and then write off that amount the next time you file your taxes.

State tax credit for solar panels hawaii.

5 minutes last updated on august 27 2020. What s more with hawaii energy s rebate combined with state and federal tax credits you can save nearly 70 on the system purchase price in the first year. Lighting energy efficient lighting like leds use 85 less energy to produce the same amount of light as old fashioned incandescent light bulbs and can last up to 20 years. State of hawaii incentives 1 hawaii renewable energy technologies.

These credits work the same as any tax credit. 2012 01 pdf temporary administrative rules relating to the renewable energy technologies income tax credit retitc. Tax credits do a lot to make solar affordable and hawaii is no exception to states offering large and lucrative tax credits for putting solar panels on your roof. Retitc forms shortcut to form n 342 and instructions form n 342a form n 342b and instructions and form n 342c and instructions.

While you can receive this amount as a tax credit you can also choose to receive a slightly reduced amount as a tax refund. If you re able to claim both tax credits you could be looking at a net year 1 cost of 5 265 to wipe out your 2 300 annual bills. Hawaii solar and renewable energy incentives. Tax information release no.

Sunny hawaii is a great state for solar power and renewable energy. If you re considering solar you ve probably heard about the federal solar tax credit also known as the investment tax credit itc the federal itc makes solar more affordable for homeowners and businesses by granting a dollar for dollar tax deduction equal to 26 of the total cost of a solar energy system. The state of hawaii offers a personal tax credit of 35 of the cost of the system or 2 250 whichever is less as well as a one time 750 rebate for existing homes not. Contact the appropriate regulatory agency for more information.

Adding another 4 5 kw of solar panels should eliminate most of the rest of your 190 monthly bills and cost somewhere around 12 000 15 000 before the 26 federal tax credit and hawaii s own 35 tax credit. Check with your tax professional on the specifics of your project regarding this incentive. Federal tax credits include 30 of the cost of solar hot water systems with no cap same federal tax credit for pv systems applies. This webpage offers examples of the variety of local state and federal incentives designed to encourage the growth and proliferation of renewable energy technologies.