As many of you may know, the U.S. Government has been encouraging energy efficiency for our nation more and more each year. In order to incentivize a shift in energy consumption, there are countless tax credits and rebates available for renewable energy products, such as solar water heaters, for both business and homeowners. DSIRE is the “Database of State Incentives for Renewables and Efficiency.”
The purpose of this post is two-fold: First and foremost to create awareness that many of these government tax credits are still available to you today. While some expire in 2016, some of these tax credits don’t even have expiration dates. One tax credit specific to our state is the Solar Energy Tax Credit for South Carolina. South Carolina taxpayers may claim a credit of 25% of the costs of purchasing and installing a solar energy system or small hydropower system for heating water, space heating, and air cooling to name a few. The most you can take in any year is $3,500, and for larger investments this can be carried forward for 10 years totaling $35,000!
$3,500 is a big number! There are also federal tax credits available as well. One such credit is the Residential Renewable Energy Tax Credit. Under this credit, a taxpayer may claim a credit of 30% of qualified expenditures for a system that serves a dwelling unit located in the United States and is used as a residence by the taxpayer.
We hope you realize the large savings provided by these credits. Hopefully you’ll be intrigued enough to investigate these two incentives and make a decision to move forward with a solar site inspection.
As we mentioned earlier, there are two reasons for this post. The second is simply to remind you that the tax year is almost over. As hard as it is to believe, it is November! Most of these incentives don’t expire for quite some time, but if you want to take advantage of the credit on your 2010 returns, the time to act is now! With the purchase of a new solar water heating system, you’ll be on the road to lower energy bills and have $3,500 coming in the mail this April between the State and Federal Incentives.
If this has sparked your interest but you aren’t sure how to get started, please let us know. We can do a free inspection of your home and walk you through this entire process. Look us up on Facebook or visit our website. You can also respond to this blog post and we’ll get back in touch with you.
Hopefully, you will jump on board. We have. Our government has. Many residents of Charleston have already installed solar hot water heaters at their homes and businesses. Will you be next?
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