Solar and Other Energy Credit Information

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The following information is provided to assist your with understanding how to claim the Federal 30% tax credit for installing solar (and 10% tax credit for doors and windows) on your tax return.

Who qualifies for a federal solar tax credit?

You need to owe federal taxes to be able to get a credit. The credit reduces the amount of tax you'll have to pay. If you do not have a tax liability, the credit cannot help you for the year of the tax return, but it can be carried over to the next year when you might have a tax liability. (You can also apply some of the tax credit for the tax year the solar was installed and carry some to the next tax year.)

The solar must have been installed on your main or a secondary home. It cannot be applied to rental property.

What is a tax credit?

A tax credit reduces your tax liability by a certain dollar amount. It is NOT a deduction. A deduction takes money off your taxable income and varies depending on how much you make.

This information is a summary of what credits can be applied. For exact details, click on the links to review the forms.

These are the things you need to get these credits. (The first set of bullets are draft versions that the IRS is still working on for 2015. The following set of bullets are the 2014 complete forms.)

Details for Form 5695

Details for Form 1040