Solar Panel Installed in an 26/2023 partial payment in November 2022 how to claim for tax credit

[tntesource]

Hi All,

I have my solar contract negotiated and down payment of 20% in November 2022 but the installation was not completed until Jan 27/2023. Should I claim for partial credit for the 20% paid in 2022 or I can only claim the credit in the 2023 tax filing?

[KrisD15]

Only on your 2023 tax return . 

According to the IRS:

"Taxpayers typically claim expenses for the credit in the year in which they install the property in their

homes."

LINK

"Q1. May a taxpayer claim the credits in the year of purchase if installation of the qualifying property occurs in a later year? (added December 22, 2022)

A1. No. A taxpayer may not claim the credits until the year the property is installed."

LINK