Federal Tax Credits for Residential Use

The Energy Policy Act of 2005 established a new 30% Federal Tax Credit (limited to $2,000 for residential systems). This is a TAX CREDIT (not a deduction)-- it is a direct, dollar-for-dollar reduction from your taxes owed, but may be limited by the Alternative Minimum Tax (AMT).

While held to a maximum of $2,000, this helps further reduce the cost of systems installed right here in our Golden State, where over 70% of the residential solar electricity systems reside.

Download IRS Form 5695 - Residential Energy Tax Credit for 2007