by Writer Team | January 3, 2006 4:06 pm
Federal tax credits implemented to encourage solar energy development and use
After years of failed attempts, the U.S. Congress passed comprehensive energy legislation last summer. Spurred by record prices for oil, natural gas and coal, lawmakers developed a tax package of $14.5 billion, the bulk of the incentives targeting mature, traditional energy industries. Yet the solar industry was able to win the strongest federal provisions for solar in two decades: a 30 percent federal investment tax credit for residential and commercial installations. These new incentives have been implemented from the 1st of January 2006.
The existing 10 percent tax credit for commercial solar installations rises from 10 percent to 30 percent for two years, with no cap on the credit. The incentive applies to all property placed in service after Dec. 31, 2005, and before Jan. 1, 2008. It switches back to the permanent 10 percent credit thereafter.
The policy includes a 30 percent tax credit for residential solar installations for two years, capped at $2,000. It applies to all property placed in service after Dec. 31, 2005, and before Jan. 1, 2008
For more information on solar energy and solar panels visit Siemens Solar
Source URL: https://www.newsinsider.org/302/new-benefits-for-solar-energy-use/
Copyright ©2022 News Insider | World news events unless otherwise noted.