Grid-Tie Incentives

The U.S. government has a 30% tax credit as an incentive for the installation of a grid-tied system.  Vermont no longer has a state incentive fund.

The 30% federal income tax credit is a credit toward taxes owed and not an income deduction. This tax credit can be rolled over for use in future tax years.  Additional details are available from the IRS, from tax preparation services, or refer to IRS Form 5695.

An on-going incentive for the homeowner is net-metering.  Kilowatts generated by the PV system will be valued at .19 per Kwhr in the State of Vermont while power purchased from local utilities ranges from .14 to .17 per Kwhr.

Lastly, there is no state sales tax on renewable energy investments.

Business entities are eligible to take accelerated depreciation on solar investments, and in addition to the above incentives, there is a 7.2% state tax credit.

Click here for further information on incentives.