Solar Tax Credit
If you install a solar water heater or solar system for supplying your electricity, you can get 30% tax credit to the cost (the cost of the system plus the installation cost after any rebate from electric company, if any). If you need to pay for the roof material during the installation, that cost for such installation will be included for claiming the credit too.
Tax credit is different from taxable income deduction, it gives you the tax benefit by reducing your tax due. Don’t overlook such benefit.
Swimming Pool and Hot Tub
Unfortunately, your whole credit may be gone if your solar equipment is also used for heating up the swimming pool or hot tub.
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