Solar energy tax

[manosgerms]

Hello

I had a solar array installed in 2025

It was installed and running in December putting out energy and storing it in batteries

However, until 2026 it wasn't sending energy back to the grid because the utility company had yet to approve

Can I still claim this on my taxes?

[MindyB]

Yes, based on the facts provided, you are eligible to claim the Residential Clean Energy Credit on your 2025 federal income tax return. 

For tax purposes, the placed in service date is the criteria for eligibility, which the IRS defines as the taxable year in which the installation is complete and the system is ready and available for its specifically assigned function. 

Since your array was fully installed and actively generating power for onsite battery storage in December 2025, it achieved operational status within that tax year regardless of the pending utility provide approval. 

[manosgerms]

Thank you very much. Yes it was all fully operational in early December.