Federal Solar tax credit

[robinjoyc]

Hi, I installed solar panels in 2016.  I have been getting the credit in my NY state taxes but up until right now I was not aware that there was a credit for Federal.  Is this new?  And, could I start claiming the cost now?  I have a lease agreement - no upfront cost, just the monthly payment.

Thanks!

Robin

[AmeliesUncle · Accepted solution]

The Federal credit is only for solar equipment that you purchased.  It does not apply if you are leasing it.

[robinjoyc]

Thank you... Wondering if I now buy-out my lease, could I then deduct this expense on next year's Federal return? (given the laws don't change)