Does Florida Offer Solar Tax Credits?

Does Florida Offer Solar Tax Credits?Generally, there are no statewide solar tax credits and rebates in Florida. However, you can still enjoy other local and federal incentives when you go green. The sunshine state provides avenues where home and business owners can save on the cost of PVs’.

Solar panels attract a substantial initial cost. But states and the federal government recognize the need to switch to renewable energy and have adopted measures to make them more affordable. Here at Wayne Solar, we’ll help you discover some solar incentives you can enjoy as a Florida resident.

1. Sales Tax Exemption

As a Floridian, you can save 6% on the cost of a solar photovoltaic (PV) system. The state introduced a sales tax exemption on solar energy and combined heat power system (CHP) in 1997. While initially, the incentive was slated for only five years, the government converted it into a permanent benefit.

Sales tax exemption In Florida applies to the following:

  • Solar heaters
  • Solar panels
  • Combined heat and power systems

It also applies to commercial, residential, and agricultural solar systems. Therefore, you won’t pay a sales tax regardless of the size of your solar system. However, you only qualify if you buy solar equipment certified by Florida Solar Energy Center.

2. Property Tax Abatement

Property owners pay higher property tax whenever a home improvement adds an assessed value. Usually, that would include solar energy since it increases the market value of your home. However, that is not the case.

Florida introduces a Property Tax Abatement for Renewable Energy. Essentially, you do not pay an added tax for any increase in home value after solar system installation.

3. Federal Solar Tax Credit

The federal tax credit applies nationally, and Florida residents can also enjoy it when buying solar systems. Also called the Investment Tax Credit or ITC, this national wide incentive allows you to claim a tax credit on the solar installation cost.

The credit offers a 30% tax deduction for the total solar system costs. It had dropped to 26% in 2020, but the 2022 Inflation Reduction Act restored it to 30%. The incentive will remain through 2034. (1)

Consider Wayne Solar as Your Florida Solar Company

You can combine all these incentives and enjoy reduced costs on a new solar system. At Wayne Solar, we can help you reduce your energy bills by switching to affordable energy.

We provide certified solar systems from top manufacturers to ensure you get quality and durability. Contact us today via email or phone ((386) 673-9720) for more information. Our company services Ormond Beach, Daytona Beach, New Smyrna Beach, St. Augustine, Daytona Beach Shores, and the surrounding communities.

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