Solar Tax Credit
Your new lithium power system may qualify you for the federal residential energy tax credit! Share the information below with your tax professional as you prepare for your filing. RoamRig is happy to help you save, but we're not tax professionals, always get professional advice!
What is the Solar Tax Credit?
If you install solar energy equipment through the end of 2032, you are entitled to a non-refundable credit off your federal income taxes, equal to 30% of the cost of the entire power system we install with tax.
Yes, your van qualifies for this residential energy tax credit, whether or not it is your main or only home.
What do I need to claim the credit?
You'll need the receipt for your purchase and installation and you or your tax professional will be filing IRS Form 5695 along with your personal tax return.
You can only take the credit for what you owe in taxes, making it different than other, fully refundable tax credits like the Child Tax Credit and Earned Income Tax Credit. However, if you have any unused tax credit you can carry it over to the next year.
Is it really necessary to talk to a tax professional?
We strongly recommend you talk to your accountant to make sure you are eligible. Is the vehicle titled in your name or in the name of a holding entity like an LLC or a trust? Is the vehicle used for recreation or business? Your accountant will need to know these things.
Your accountant will also have guidance as to what (if anything) you must do with your existing solar panels in order to qualify the RoamRig power system as supporting equipment to qualify the entire system for the residential solar tax rebate. For example, do you need to add a new panel to the roof, or portable panel to use when you are parked? Maybe your existing solar panels are sufficient to make the new power system equipment eligible. It is up to you and your accountant to make sure that your system is fully qualified per law should you get audited and have to defend the tax credit that you took.
Do I have to repay the credit if I sell the van?
No! If you install the system in a van you own, you can claim the whole credit and sell at any point after. This makes the residential solar tax rebate significantly more user-friendly than the programs for commercial solar installations.
Links for reference:
- Information on completing Form 5695 from the IRS website.
- Tax Queen: Solar Enegry Credits
- Go Power Solar: US residents could receive tax rebates on solar power solutions for RV
- AM Solar: Solar Investment Tax Credit
- Go Green Solar: Your complete guide to the Federal Solar Tax Credit