topic solar tax credits in Get your taxes done using TurboTax

solar tax credits

LDriggers — Tue, 10 Mar 2026 07:04:27 GMT

My husband and I are both retired and rely mainly on Social Security for our income. IRS does not deduct taxes from our income, and at the end of each year, we have a $0.00 tax liability. We would like to take advantage the tax credits for EVs and solar installation in the recently passed Inflation Reduction Act. Are these tax credits refundable?

Re: solar tax credits

OmM1 — Wed, 16 Nov 2022 17:34:22 GMT

Hello,

his is a nonrefundable tax credit, which means you will not get a tax refund for the amount of the tax credit that exceeds your tax liability. However, you can carry over any unused amount of Solar tax credits to the next 15 tax year.

Hope this helps,

Re: solar tax credits

VincentL2 — Wed, 16 Nov 2022 17:05:11 GMT

This tax credit is nonrefundable and will only offset your tax liability for a given tax year.

Re: solar tax credits

LDriggers — Wed, 16 Nov 2022 17:08:47 GMT

Just to be clear, are you saying that I could carry over that tax credit up until 1938?

Re: solar tax credits

OpeA1 — Wed, 16 Nov 2022 17:09:51 GMT

Hello LDriggers!

Here is what I found for you:

"This is a nonrefundable tax credit, which means you will not get a tax refund for the amount of the tax credit that exceeds your tax liability. 15 However, you can carry over any unused amount of tax credit to the next tax year." chrome-extension://efaidnbmnnnibpcajpcglclefindmkaj/https://www.energy.gov/sites/default/files/2021/02/f82/Guide%20to%20Federal%20Tax%20Credit%20for%20Residential%20Solar%20PV%20-%202021.pdf

And another article from TurboTax :chrome-extension://efaidnbmnnnibpcajpcglclefindmkaj/https://www.energy.gov/sites/default/files/2021/02/f82/Guide%20to%20Federal%20Tax%20Credit%20for%20Residential%20Solar%20PV%20-%202021.pdf

I hope this helps!

OpeA1.

Re: solar tax credits

JandKit — Wed, 16 Nov 2022 17:12:14 GMT

Hi LDriggers,

Thank you for this question!

The credits you mentioned are both non-refundable credits. This of course means that if you do not have a tax liability, you will not receive the credit. However the solar credit can be carried over to the next year. The Ev credit cannot.

Re: solar tax credits

OmM1 — Wed, 16 Nov 2022 17:36:15 GMT

Solar Tax credits can be carried forward to 15 years, so if you generate the credit in 2023, you will be able to carry it forward to 2038.