2020 is the last year the federal government will be offering the full 26% Investment Tax Credit (ITC) for solar power systems. In the coming years, the ITC will continue to drop. This diagram shows the decline of the ITC between now and then.
So, what does this mean for home and business owners thinking abut solar? In short, 2019 is the year to make the jump, in order to maximize savings due to the ITC.
After 2022, the rebate will remain at 10% for commercial solar projects, while it will completely disappear for residential customers.
Pro Tip: When filing your ITC on your federal taxes, you may rollover a sum of your credit, if the credit exceeds your tax liability!