Can I claim Solar panel installation ?

Forum|Forum|7 years ago
June 3, 2019
3 replies
32 views

I had solar panels installed it started in Nov 2018 & the panel installation ended in Dec. 2018. I had no upfront costs...They finally turned the solar panels on in March 2019.. can i claim this on my 2018 taxes ? Or do i need to wait till next year? I've looked online and it tells me 30% cost which I already know I need a more detailed answer to my question about.

JohnW15

Level 10

Yes, you can. The only issue is when you can claim the credit.

According to the Instructions for Form 5695,

For purposes of the credit, costs are treated as being paid when the original installation of the item is completed, or, in the case of costs connected with the reconstruction of your home, when your original use of the reconstructed home begins. Costs connected with the construction of a home are treated as being paid when your original use of the constructed home begins. If less than 80% of the use of an item is for nonbusiness purposes, only that portion of the costs that is allocable to the nonbusiness use can be used to determine the credit.

Based on what you're, stating it appears as if the costs will be treated as being paid in 2018, if they weren't connected with any reconstruction of your home, or the construction of your home, since that's when the installation was completed.

danni-cobb92Author

Level 2

This didn't answer my question, we had no upfront costs & we don't start paying until the panels are turned on which the panels got turned on in 2019. But were installed at the end of 2018. Do I need to wait a year before claiming on taxes or can I put this on my 2018 taxes.