This page may contain affiliate links. If you use a partner link, we may earn a referral commission at no extra cost to you. See our privacy policy.
Solar Panel Rebates & Incentives
The federal solar tax credit (ITC) remains one of the most valuable clean energy incentives available to homeowners. Combined with state programs, net metering, and utility incentives, solar panels can dramatically reduce or eliminate your electricity bill.
Federal programs for Solar Panels
25D Residential Clean Energy Credit
30% of the total cost of a solar panel system (equipment, installation, permitting). No annual cap. Available through 2032, then steps down to 26% in 2033 and 22% in 2034.
Eligibility: Must be a home you own in the US (primary or secondary residence). Rental properties do not qualify. System must be new — used panels are not eligible.
Find local Solar Panels rebates
Enter your ZIP code to discover state, utility, and local rebates available in your area.
Frequently asked questions
How much is the federal solar tax credit worth?
The credit is worth 30% of your total solar installation cost. For a typical $20,000 system, that's a $6,000 credit directly reducing your federal tax liability.
Can I combine the federal credit with state incentives?
Yes. Many states offer additional rebates, performance payments, or renewable energy credits (SRECs) that stack on top of the federal credit.
Does the credit apply to battery storage too?
Yes, as of 2023, standalone battery storage systems also qualify for the 30% Residential Clean Energy Credit, even if not paired with solar.
Recommended partners
We may earn a commission when you use one of our partner links. This helps support the site at no extra cost to you.