Took the plunge. Finally going solar!

[MossRoad]

Think of it more like withholding, it's cash the government is holding, it's yours.

Again, I think you're mistaken on this. Please show me the tax law/code, whatever it's called, that applies to this.

 

[MossRoad]

You get 30% on $20k, or $6k. So you would get a tax refund of $1000.

According to everything I've read, and everyone I've talked to, and others that have replied to this thread, you can only take a credit for what you would have owed in taxes. So if you paid $5K in taxes this year, you can't get $6K knocked off your taxes this year and get a $1000 refund. You can get $5K knocked off your taxes this year, and you'll have to wait until next year to get the last $1K.

Again, if you can find the law/code that says you can get back more than you paid in that year, please post it. Anyone that's done a solar install would love to get their 30% all in one lump sum, rather than having to parse it out over a few years.

 

[deezler]

Call your CPA, you might find I'm right... Let me know...

You're thinking of a refundable tax credit, which can pay you back beyond what you owe. This is not a refundable credit. Pretty simple:
What's a Refundable Tax Credit?

 

[fordmantpw]

According to everything I've read, and everyone I've talked to, and others that have replied to this thread, you can only take a credit for what you would have owed in taxes. So if you paid $5K in taxes this year, you can't get $6K knocked off your taxes this year and get a $1000 refund. You can get $5K knocked off your taxes this year, and you'll have to wait until next year to get the last $1K.

Again, if you can find the law/code that says you can get back more than you paid in that year, please post it. Anyone that's done a solar install would love to get their 30% all in one lump sum, rather than having to parse it out over a few years.

The way I wrote it is the way it works. I know, I've been there (twice with geothermal rebates and once with solar).

Basically, it decreases your tax liability by 30% of the cost of the item (solar/geothermal). If your tax liability is less than that 30%, then your tax liability for that year becomes $0 and then you carry the remainder over. It really has nothing to do with what you've paid in, but just decreases your liability.

And you can't get back more than you paid in. If your liability becomes $0 and you've paid in $2k, you get $2k back.

 

[Redneck in training]

NC has/used to have a 30/35% tax credit for solar which would be carried over in the following years if required to get the full amount.

The reality is that solar is still an expensive installation, I think NC required a "professional" install to get the credit which juiced up the cost, so a decent sized system was going to costs tens of thousands of dollars. One will have to be able to get a fairly sizable loan or have the cash to pay for the installation and possibly wait for years to get the various tax credits. Not something many people can afford.

I have been following solar for decades and it has gotten to the point of affordability in some cases. A few years ago I went to a solar power class and it was funny watching people in the class when they realized that just having solar panels on their roof was not going to do squat during a power outage. When they saw the cost of batteries, both the initial cost and the long term cost, their enthusiasm for PV went right out the door or should I say roof. I cannot remember the details for NC, but the way the power company pays for solar power made it not worth your money to build a solar system that produced more power than you used. Basically what you wanted to do was to figure out how much power you used each day and build a system to meet that usage. Any extra power you produced went to Duke Power for free. The class instructor had built quite a few homes with PV and solar water heating and the latest power regulations and adminstrative hoops meant you just wanted to produce a power that just barely met your needs. This obviously depends on a states regulations which can change for better or worse.

Later,
Dan

When we decided to ho solar I was little worried about the possible screwups damaging expensive hardware. Then I found that it was more or less impossible to connect the hardware wrong. If you can replace outlet in your house then you can put together PV system. The requirements of licensed professional to install the PV is easy to overcome. You can get certified or licensed. It is not too costly or difficult to get.

 

[Soldier415]

Got the email yesterday that our install is scheduled for Weds. Great news as we were expecting a late January install

 

[dmccarty]

When we decided to ho solar I was little worried about the possible screwups damaging expensive hardware. Then I found that it was more or less impossible to connect the hardware wrong. If you can replace outlet in your house then you can put together PV system. The requirements of licensed professional to install the PV is easy to overcome. You can get certified or licensed. It is not too costly or difficult to get.

Yeah, installing this stuff is not rocket science and it really is simple to set up at least up to the point of tying into the AC grid. I would want an electrician to do that work for a variety of reasons. The PV side is pretty idiot proof and I would want to do the install, especially the mechanical attachment to the roof. Not sure how easy it is to get licensed in NC.

Later,
Dan

 

[dmccarty]

Got the email yesterday that our install is scheduled for Weds. Great news as we were expecting a late January install

This is THE time to get a system installed since it will go into service at the end of the year, and tax season is just a few weeks away you minimize the time it takes to get state/Federal tax credits.

Later,
Dan

 

[deranged]

The way I wrote it is the way it works. I know, I've been there (twice with geothermal rebates and once with solar).

Basically, it decreases your tax liability by 30% of the cost of the item (solar/geothermal). If your tax liability is less than that 30%, then your tax liability for that year becomes $0 and then you carry the remainder over. It really has nothing to do with what you've paid in, but just decreases your liability.

And you can't get back more than you paid in. If your liability becomes $0 and you've paid in $2k, you get $2k back.

Fordman, are you on the amerenue side of the state or the Kansas blue? If you are on the ameren side I would love to hear your array size and output if you have time. I’m close to you and am considering a loan before the credits expire

 

[MacLawn]

I'd love to do solar, but age, health prevents it, and I'm too old for any payback. I think it's great for younger people though. Sounds confusing though. I'd want no batteries, feed into the grid and they credit me when I produce more than use, etc. Whatever that's called. But, y'all young boys have at it!