Perhaps the most well-known incentive that can reduce the cost of solar installation is the federal solar tax credit. This incentive, however, is set to expire by the end of 2021 (for residential systems), leading many Bay State homeowners planning for a future of solar energy to wonder about the other financial benefits and incentives that are available for residential solar PV systems.
Here are the many other ways that installing solar can save you money here in Massachusetts, from the number one Massachusetts based solar installers at Boston Solar.
Solar Panel Property Tax Benefits
You certainly aren’t the only homeowners looking into solar energy—and the real estate industry knows it better than anyone! Zillow estimates that the average house that includes solar energy will sell for upwards of 4% more than homes without. But the good news is, that though they increase your property value, solar panels will not increase your property taxes.
This is a 100% property tax exemption incentive that lasts for 20 years, adding up to an estimated $18,287.68 in property tax savings for the average home!
Sales Tax Benefits of Solar
In Massachusetts, just like many other states, there’s the sticker price, and then there’s the price after sales tax. Fortunately for solar installation, you don’t have to make that calculation! Because solar PV panels and inverters are a part of a renewable energy source, they are exempt from the sales tax required for household items. That’s a sales tax exemption savings of 6.25%, right upfront!
Other Financial Incentives for Solar Installation
Yes, installing solar can reduce your federal and state taxes—but there are two other financial incentives that can put more money in your pocket, too:
When you add this on top of the savings you will see on your energy bill, your investment in solar could pay off much faster than you think!
And for homeowners looking to have 24/7 renewable energy, adding battery storage to your new or existing solar panels also qualify for many of the tax savings we already listed!
Learn How Much Solar Can Save You with Boston Solar
There is a lot to take in when it comes to planning your investment in solar. How many solar panels will you need? Is your roof facing the right way, or should you install them on the ground? How long can you expect your solar PV system to last?
At Boston Solar, we are here to make sure you have answers to all of these questions and more. We are not here to sell you a system that won’t accomplish your goals, whether it is to reduce your taxes, your energy bill, or your carbon footprint. No two homes are alike, and no two solar PV systems should be either! Get your free solar quote, and learn what going solar will look like for you.
Learn more about the tax exemptions for your solar installation project. Schedule a free solar quote with Boston Solar today by calling 617-858-1645 or get in touch here.