Benefits of Going Solar in Nevada: The Tax Break Will End this Year-Jump on it now!

Benefits of Going Solar in Nevada: The Tax Break Will End this Year-Jump on it now!

As a Nevadan, you enjoy a diverse state. From the star-studded entertainment and casinos in Las Vegas, known as Sin City, to the peaceful oasis of Lake Tahoe, nicknamed Heaven on Earth. You can go land sailing in the vast deserts or skiing in the snow-covered mountains.

The one constant throughout the state is the amount of sunshine all of its residents can enjoy year-round. The average number of sunny days in Las Vegas is 294. Reno receives about 252 days of sunshine a year. Typically the entire country gets about 205 days with sun. Nevada is a state with an abundance of sunshine!

Nevada’s Abundant Sunshine Amazing for Solar Power

Weather-wise, Nevada is also one of the driest states in the country, fewer cloudy days and less precipitation. Other than being a fantastic place to be able to do outside activities year-round, the amount of sunshine in Nevada makes it a great state to go solar.

Solar energy systems derive their power directly from the sun. The more sun-filled days, the more of the sun’s energy can be converted into electricity. With an above-average number of days with sunshine, Nevada homes naturally have the most crucial factor needed to transform their homes to solar power. This also helps homeowners already using solar power to reduce their reliance on energy sources from costly public utility companies.

Net Metering for Homeowners using Solar Systems

In June of 2017, Governor Brian Sandoval reinstated net metering for Nevada’s homeowners with solar panel systems. The policy had been removed in 2015.  Governor Sandoval’s goal for the reinstatement of the incentive was to encourage the growth of solar energy use and to make Nevada a leader in energy policies.

The net metering policy allows Nevada homeowners to use their solar energy systems in conjunction with the energy used from a utility company. The solar panels can offset the high cost of the homeowner’s dependence on electricity from power companies. When the solar system creates more energy than the homeowner’s use, they can sell the excess energy supply back to the power grid for incentives and credits.

Utility companies in Nevada are required to buy extra power from their customers with solar panel systems. They must purchase any excess energy at a set rate tier that is almost equivalent to its retail value. The customer’s home must be actively connected to the power company’s grid to be able to qualify for net metering.

Solar System Tax Credits

One of the benefits of having a solar energy system installed is the solar investment tax credit (ITC). This is a credit that can be applied to a homeowner’s personal federal income tax return. To be able to qualify for the credit, the solar system must have been purchased outright and installed on the tax payer’s home in the tax year they are claiming the credit.

The ITC was enacted in 2006 as an incentive for more homeowners to go solar. Currently, the rate is a 30% tax credit for solar systems on residential and commercial properties.

To be able to claim this credit you are going to need to act fast!  The tax year for 2019 will be the last year to be able to claim the full 30%. For installation projects started in 2020, the tax credit goes down to 26%. For eligible taxpayers the amount you can claim drops again in 2021 to 22%, and the last year to be able to claim a tax credit. In 2022 the ITC is zero.

If you are thinking about going solar, this is the year you should get that system installed.  For the full 30% solar investment tax credit, you will need to purchase and meet the IRS requirements that the construction of your solar system has been started in 2019.

Benefits of Going Solar

There are many reasons to go solar, especially in the beautiful state of Nevada. With abundant sunshine, dry weather, and state policies that offer incentives Nevada is a prime location for the addition of a solar system to your home.

If you want to be able to qualify for the full 30% solar investment tax credit on your 2019 federal tax return, you’d better hurry! The clock is ticking. Only a short time left before the tax credit begins to decline quickly. In 2022 you won’t be able to claim the credit at all. That’s only a few years away. Now is the best time to make the decision to go solar and save the money you deserve!

0 replies

Leave a Reply

Want to join the discussion?
Feel free to contribute!

Leave a Reply

Your email address will not be published. Required fields are marked *

More News

solar panel

Solar Panel’s Structure

The ever-growing impact of human living on nature has prompted many people, including governments, to reduce the negative impact by
Learn More
Solar Energy Usage History

Solar Energy Usage History

As the world heats up and researchers point the many natural disasters and catastrophes to human actions, people have started
Learn More
Solar Energy - Solar Panels on the roof

Can You Run a House on Solar Energy Alone?

Going off the grid has become a popular idea for eco-conscious homeowners wanting to reduce their carbon footprint to help
Learn More