For homeowners and business owners in South Carolina, there are fantastic tax credits for solar power.
As of December of 2017, there are many incentives for adding solar power to your business or home. There are state and federal tax credits, utility company rebates and/or power buybacks, grants, and other options. One of the best benefits is the State tax credit. If you add solar panels to your house or business, you likely will qualify to receive a 25% tax credit on the cost of the solar panel installation. That means that if your contract to add solar panels totals $20,000, you could get $5,000 of that back through tax credits.
To receive the tax credit, you need to have the liability. You should check your past tax returns or check with your accountant to see if you’ve had enough tax liability to take advantage of the credit. The good news is that you have up to 10 years (as of this writing) to claim the full amount of the credit. For example, if you can only claim $1,000 in year one of your taxes, you can claim the other $4,000 within the following 9 years.
There are other rules to be aware of with the program. As of this writing, you can only claim up to half of your state tax liability in any given year and no more than $3,500 in any one year. Specific other incentives or discounts you receive on the contract price may also limit the contract value in which you can apply the 25% credit. For more specifics on these limitations, we are glad to answer any questions. Just email us at: [email protected] or call 843-817-6527.
As always, we recommend that you check with an accountant or a tax professional to see what your situation qualifies to utilize and how to apply the credits. You should also check your current federal, state, and utility incentives as they may have changed since this writing. We cover areas within a fairly large radius of the Grand Strand including (but not limited to) Georgetown, Pawleys Island, Murrells Inlet, Surfside, Conway, Little River, Loris, and of course, Myrtle Beach. Solar power is the way of the future – we look forward to hearing from you.