Residential Solar Energy Tax Credit
| Program Type | Tax Credit |
|---|---|
| Technologies | Photovoltaics, Solar Hot Water Heating, Solar Space Heat |
| Amount | 30 percent, maximum credit of $2,000 |
| Required Documentation | Schedule SETC |
| Official Web Site | http://www.wva.state.wv.us/wvtax/default.aspx |
Under West Virginia’s Residential Solar Energy Tax Credit, homeowners may apply to for a tax credit of up to 30 percent or $2,000 for purchasing and installing a PV system, solar hot water system, or solar space heating system. To apply for the tax credit, system owners must fill out West Virginia tax form, Schedule SETC. For each year the taxpayer plans to qualify for the credit, he or she must fill out the form. Under the state’s tax code, system owners can claim the entire credit in one year or space it out over a number of years until the total amount available is credited to the owner.
Solar hot water systems covered under the credit are limited to those that provide hot water for the home. Solar pool heaters are not covered under the code. In addition, to qualify for a solar-hot-water-system credit, the installation must provide at least 50 percent of the home’s hot-water needs directly from the sun. There is no cap on the size of a PV or other system, just the $2,000 cap on the amount a taxpayer may receive from the state for installing a system.
The legislation enabling the program was passed in June 2009 and has a sunset date of July 2013 for new applicants. Under the current code, the last tax year to qualify for the credit is 2013, and filed in 2014.
