Nearing Expiration! Idaho Solar Panel Tax Credit Update 2022
According to recent statistics published by the SEIA, Idaho currently ranks 27th in the nation for solar power generation, but it’s climbed up the rankings from 35th place last year.
There’s good reason for the consistent growth of solar energy in Idaho. For one, solar panels are cheaper than ever before.
Also, conventional electricity is becoming ever more expensive, and the state offers outstanding incentives to get on board with solar.
Keep reading to discover more about the best solar tax credits 2022 has to offer for Idaho residents.
The Cost of Solar Installations in Idaho
The average solar installation in Idaho costs around $2.60 per watt, and the average 10 kW residential system costs $26,000. If you install your solar system before the end of 2022, you can save by taking advantage of the federal ITC.
This initiative allows you to deduct 26% of the installation costs from your income tax, bringing the cost down to an average of $19,240. This benefit decreases to 22% for 2023, and it expires at the beginning of 2024.
Don’t put your calculator away just yet. Idaho residents can take advantage of another substantial solar rebate, too.
Idaho Solar Tax Credits 2022
According to Blue Raven, Idaho’s installed solar capacity has soared by 261% in the last year. That’s not surprising when one considers the huge savings available to residents of this state, no matter how they choose to implement solar power.
The Idaho solar tax credit is among the best in the nation. Through this incentive, you can deduct 40% of the total cost of your solar installation from your taxes in the first year.
Then, you can deduct 20% of that amount every year for the next three years, provided the deduction doesn’t exceed $5,000.
If that wasn’t enough, there are even more ways to save when you go solar in Idaho.
Net Metering Savings
While Idaho doesn’t regulate net metering, you can take advantage of net metering agreements with any of the three major energy providers in the state. These are Idaho Power, Rocky Mountain Power, or Avista Utilities.
Net metering works with grid-connected solar installations. With net metering, your solar panels can feed excess energy back into the grid, and you can use electricity from the grid when needed.
The power company essentially buys your solar power from you by giving you an equivalent credit on your energy bill.
Low-Interest Solar Loans
Not everyone has the cash available to pay upfront for a solar installation.
In Idaho, you can pay for your solar setup with a state-funded low-interest loan program. This caps interest rates at 4% and provides financing up to $15,000 for residential installations.
Save Even More
If you live in Idaho and you want to take advantage of the solar tax credits 2022 has to offer, get in touch with an Idaho solar installer right away.
They can help you save even more on your installation by ensuring you implement the most cost-effective and efficient solution for your home.
Are you eager to discover more ways to improve your lifestyle and save money in the process? Browse our website for the best advice and tips.