Solar Technology Tax Credits Still Available for 2019

Share on facebook
Share on google
Share on twitter
Share on linkedin
Share on print
Share on email

Any bookkeeping, business or tax article contained in this communication, including attachments and enclosures, is not intended as a thorough, in-depth analysis of specific issues, nor a substitute for a formal opinion, nor can it be used to avoid tax-related penalties. If desired, we would be pleased to perform the requisite research and provide you with a detailed written analysis. Such an engagement may be the subject of a separate engagement letter that would define the scope and limits of the desired consultation services.

Certain energy-efficient home improvements can cut your energy bills and save you money at tax time. While many of these tax credits expired at the end of 2016, tax credits for residential and non-business energy-efficient solar technologies do not expire until December 31, 2021. Here are some key facts that you should know about these tax credits:

Residential Energy Efficient Property Credit

  • This tax credit is 30 percent of the cost of alternative energy equipment installed on or in your home.
  • Qualified equipment includes solar hot water heaters and solar electric equipment placed into service on or after January 1, 2006, and on or before December 31, 2021.
  • There is no maximum credit for systems placed in service after 2008.
  • The tax credit does not apply to solar water-heating property for swimming pools or hot tubs.
  • If your credit is more than the tax you owe, you can carry forward the unused portion of this credit to next year’s tax return.
  • At least half the energy used to heat the dwelling’s water must be from solar in order for the solar water-heating property expenditures to be eligible.
  • Solar water-heating equipment must be certified for performance by the Solar Rating Certification Corporation (SRCC) or a comparable entity endorsed by the government of the state in which the property is installed.
  • The home must be in the U.S. It does not have to be your main home.
  • Use Form 5695, Residential Energy Credits, to claim the credit.

Equipment costs such as assembling or installing original systems, on-site labor costs, and costs related to wiring or piping solar technology systems are considered final when the installation is complete. For a new home, the placed-in-service date is the occupancy date.

The maximum allowable credit varies by the type of technology:

Solar-electric property

  • 30% for systems placed in service by 12/31/2019
  • 26% for systems placed in service after 12/31/2019 and before 01/01/2021
  • 22% for systems placed in service after 12/31/2020 and before 01/01/2022

Solar water-heating property

  • 30% for systems placed in service by 12/31/2019
  • 26% for systems placed in service after 12/31/2019 and before 01/01/2021
  • 22% for systems placed in service after 12/31/2020 and before 01/01/2022

If you would like more information about this topic please contact the office today.

Share this post NOw

Share on facebook
Share on google
Share on twitter
Share on linkedin
Share on print
Share on email

Small Business Financial Services

We help you cut through the clutter and noise and help you focus on a clear path to success. We help you succeed with a reliable bookkeeping, payroll support and income tax reporting.
Learn more

Individual Income Tax Services and IRS Response Assistance

Stressed during tax season? Surprised with a huge tax bill? Receiving an IRS letter? FAS can help make your year-end tax compliance less stressful with professional tax services.
Learn more

US and Canada Cross Border Tax Services

Our experienced staff, combined with our US and Canada locations, allows us to provide the tax support you need, wherever you are, at home or abroad.
Learn more

Running a small business is an extremely challenging task. However with a team like FAS, I do not have to worry about our bookkeeping and tax services.

They are truly great team!
Garage Guys Automotive

Very responsive! FAS bookkeeping service has been an integral part of my consulting business.

I highly recommend FAS to business owners who are looking for a reliable business partner to handle their bookkeeping needs.

Bruce Saxton

I have known Christy for about 5 years. She has assisted several of my clients and me personally.

If you are a business owner, Christy makes an outstanding strategic partner. I highly recommend her.

Gerry Brisson

I started looking for a new bookkeeping and tax service firm as my company was no longer getting the service that we deserve from a bookkeeping firm.

I highly recommend FAS to business owners who are looking for a reliable and professional bookkeeping and tax preparation service firm.

Mark Sargent

 Because of the nature of my business and report requirements from corporate that are time-sensitive.

I can count on Cristy and her team’s eye for detail and reliability to deliver accurate and timely financial information.

Terri Foster

We've been with FAS for years and they are one of the most professional and honest people we've worked with.

I highly recommend Cristy, Dennis and FAS Bookkeeping & Tax Services Firm.

Katie To

Being a small business owner means we’re always constrained by time and resource.

I highly recommend FAS for your bookkeeping and tax preparation needs.

Roy Andrade
FAS, with Cristy & Dennis, has been an important part of our progress as a company and I will not hesitate recommending them to business owners who are looking for a serious business partner for such a sensitive financial matter.
Jorge Vasquez
I have referred Cristy to many of our clients and have always been impressed by her professionalism and dedication to her customers.

If you own a small business and operate in the Houston or Katy area you will benefit from working with Cristy on your financials
Roland Parker
Christy is an awesome bookkeeper and adviser. I highly recommend her for personal tax and business tax.

Not only she help with our taxes, she even organize our entire book keeping for very reasonable price.
Kayla Cory
FAS is the best bookkeeping services I have encountered in my 39 years of self employment. They are hard working, ethical and honest in every aspect of their professional lives.

Both Dennis and Cristy have gone way beyond their normal duties to provide services at the highest level.
Marv Conway