Federal & State Tax Credits
Increase Home Value
Help The Planet
The solar investment tax credit (ITC) is a dollar-for-dollar reduction in the income taxes that a person or company claiming the credit would otherwise pay the federal government. The federal ITC is based on 30% of the homeowner’s cost to install solar. On leased systems, SunPower® collects this incentive and passes the savings on to the homeowner. Don’t wait, prices for solar equipment are on the rise!
Total System Cost = $50,000
The ITC (Federal Income Tax Credit) = $15,000 ($50,000 x 0.30 = $15,000).
Any amount the homeowner owes to the IRS for income taxes would be reduced by $15,000 for Tax Year 2022-2032.
*Sunspear Energy are not licensed tax professionals; please consult with your CPA or licensed tax professional. The information provided within is to serve as an illustrative guide and is from publicly available sources.
The Hawaii Energy Tax Credit allows owners of single-family homes to claim a State income tax credit up to 35% of the actual cost of the system or $5,000, whichever is less.
Each ‘system is defined as 5 kilowatts (kW); therefore, a 10kW would be eligible for up to $10,000 in Hawaii State Tax Credits. The system must be fully installed and “operational” by 12/31/2022 to claim for the 2022 tax year.
*Sunspear Energy are not licensed tax professionals, please consult with your CPA or licensed tax professional. The information provided within is to serve as an illustrative guide and is from publicly available sources.
Hawaiian Electric will pay a cash incentive for customers on Oahu to add energy storage (a battery) to an existing or new rooftop solar system. This one-time incentive is positioned to add more renewable resources to the grid in the short-term when the AES coal-fired plant is retired in September 2022. Learn more.
Having a residential solar energy system on your home is a ‘capital improvement’ which adds to your property’s value. This means that you can potentially sell your home faster and for more than homes without solar. Your investment in efficient, clean solar power also adds to the tax basis of your home. When you sell the home, this tax basis investment can be deducted from the sales price, reducing the taxable profit on the sale. This may help you avoid capital gains taxes on appreciation.
If you have a solar + Tesla Powerwall system, the Home Battery Rewards program allows you to maximize its value to lower or eliminate your monthly utility bill — and potentially get a check each month.
How it Works
Swell Energy partners with HECO to manage your system along with all participants in the Home Battery Rewards Program. The system responds to a specific need on the grid, this includes holding energy in the battery to be able to respond to grid conditions, taking excess energy off the grid, or shifting energy from your battery to your home and the grid. The value of the program is based on the fact that your system can intelligently respond in real time.
Program Benefits
Program Requirements
You must have a Solar + Tesla Powerwall System and be a Hawaiian Electric customer on O‘ahu, Maui, or Hawai‘i Island.