Utah State Renewable Energy Systems Tax Credit
| Program Type | Tax Credit |
|---|---|
| Technologies | Photovoltaics, Solar Hot Water Heating, Solar Thermal Electric, Passive Solar Heat, Solar Pool Heater, and Other Renewables |
| Amount | Up to $2,000 or 25 percent, whichever is less |
| Required Documentation | Application to the Utah Geological Survey’s Utah State Energy Program and State Tax Form TC-40E. |
| Official Web Site | http://geology.utah.gov/sep/incentives/rincentives.htm#retaxcred |
The state’s renewable energy tax credit is available to both residents and businesses—including installers and homebuilders. For residents the credit is limited to $2,000 or 25 percent of costs of installation and system components. For companies, it’s limited to $50,000.
Construction companies can take a tax credit for installing a system on a residential unit as well. If a non-business entity leases a system, they also are eligible for the credit but may not claim the credit for more than seven years from when the entity leased the system.
Applying for the credit takes two steps. System owners must first apply with the Utah State Energy Program and then receive tax form TC-40E from the Utah Tax Commission. Then, they must complete and submit the tax form with their annual tax filing. The filer may claim the credit for up to four years after http://www.cleanenergyauthority.com/solar-installers/.
The state also requires all system costs to be documented “as completely as possible.” The program said such costs may be documented through invoices, catalog listings, receipts, designs, and more. When a project includes costs that aren’t eligible to qualify for the tax credit, costs for those systems need to be distinguished from eligible costs.
