Renewable Energy Tax Credit
| Program Type | Personal Tax Credit |
|---|---|
| Technologies |
Process Heat, Photovoltaics, pretty much any renewable energy generation method you can think of. |
| Amount | 35 percent of the cost of eligible renewable energy property constructed |
| Required Documentation |
The installation date(s), proof of your costs for the installation of renewable systems, and a list of the persons or corporation that supplied labor |
| Official Web Site | http://www.dornc.com/practitioner/individual/directives/renewableenergyguidelines.html |
North Carolina’s federal tax credit program currently offers residents a 35 percent tax credit for eligible renewable energy property constructed, purchased or leased by a taxpayer and placed into service during the taxable year. Since the passing of House Bill 1829 in 2010, this credit has been extended to wind, geothermal, small hydroelectric, biomass, biodiesel, and other renewable energy systems including the solar systems that the tax credits were originally designed for.
However, the tax credits are subject to various ceilings depending on the region and type of system. The credit limits for various technologies and sectors are as follows:
A maximum of $3,500 per dwelling unit for active solar space heating, combined solar active space and domestic solar water-heating systems, and passive solar space heating used for a non-business purpose.
A maximum of $1,400 per installation for solar water-heating systems, including solar pool-heating systems used for a non-business purpose.
A maximum of $10,500 per installation for photovoltaic systems (also known as PV systems or solar-electric systems), wind-energy systems, combined heat and power systems, or certain other renewable-energy systems used for a non-business purpose.
A maximum of $2.5 million per installation for all solar, wind, hydro, geothermal, combined heat and power, and biomass applications used for a business purpose, including PV, daylighting, solar water-heating and space-heating technologies.
