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What an extension of the solar federal tax credit may mean for California

The state of California has the largest concentration of solar panel installations in the country which is why they are benefiting so much from the extension of the solar federal tax credit. The relatively small part of a mammoth $1.4 trillion omnibus bill passed back in January of this year. It included an extension of the federal tax credit for solar installations through 2022. So what does the federal tax credit extension mean? "Under the new schedule, the credit will remain at 26 percent for 2021 and 2022 and then drop to 22 percent at the end of 2023. In 2024, the tax credit will drop to 10 percent for large-scale projects and is completely eliminated for small solar installations such as rooftop systems for homeowners." The time to invest in solar is now because consumers can take full advantage of the federal tax credit through 2022. Solar Investment Tax Credit

Deduction on federal taxes

2021 26%

2022 26%

2023 22%

2024 10% for large-scale installations; 0% for residential Read full article HERE

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