Tax credits are available for qualified solar water heating and photovoltaic systems. The credits are available for systems "placed in service" through December 31, 2008. For the most benefit of your alternative energy conversion, act now before tax credits expire. Contact Sun Stuff Energy today!

RESIDENTIAL TAX CREDITS

• 35% NC STATE TAX CREDIT
  
  
  • UP TO $10,500 FOR PV, WIND AND HYDRO ELECTRIC SYSTEMS
    Excess credit may be carried forward five years, allowable credit not to exceed 50% of taxpayer's liability for the year
    
    
  • UP TO $3,500 FOR ACTIVE SPACE HEATING SYSTEMS
    Excess credit may be carried forward five years, allowable credit not to exceed 50% of taxpayer's liability for the year
    
    
  • UP TO $1,400 FOR SOLAR WATER HEATING SYSTEMS
    Excess credit may be carried forward five years, allowable credit not to exceed 50% of taxpayer's liability for the year
    
    
• 30% FEDERAL TAX CREDIT
  
  
  • UP TO $2,000 FOR PV AND SOLAR WATER HEATING SYSTEMS
    An individual can take both a 30% credit up to the $2,000 cap for PV and a 30% credit up to a separate $2,000 cap for a solar water heating system. Excess credit may be carried forward to succeeding tax year

COMMERCIAL TAX CREDITS

• 35% NC STATE TAX CREDIT
  
  
  • UP TO $2,500,000 FOR COMMERCIAL PV, WIND, HYDRO, SOLAR HOT WATER AND SPACE HEATING APPLICATIONS
    Credit is taken in five equal installments; allowable credit may not exceed 50% of a taxpayer's liability for the year
    
    
• 30 % FEDERAL TAX CREDIT
  
  
  • NO CAP ON AMOUNT OF CREDIT FOR COMMERCIAL PV, SOLAR HOT WATER AND SPACE HEATING APPLICATIONS
    Excess credit may be carried forward 2 years

Additional Tax Incentive Information:

• The Solar Energy Industries Association (SEIA) guide to Federal Tax Credits for Solar Energy provides comprehensive information as to how the incentives for both commercial and residential applications may be claimed.

• More information on the Solar Tax Credit from SEIA.

• 2006 Federal Form 5695 is for the residential tax credit.
  

• 2006 Investment Tax Credit Form 3468 is for the commercial tax credit.

• The Alliance to Save Energy (ASE) provides comprehensive information developed by ASE and the U.S. Department of Energy.