solar tax credit

[toolstogo]

I am debating having solar installed on my home.

I am confused about the tax credit. 

If I have $10k in Federal taxes taken out of my paychecks during the year and my tax credit is $12k. Will I get a refund of $10k when I file my taxes?

Can I then rollover the remaining $2k to the following tax year?

In other words, If I am due a refund because I overpayed my taxes, am I still eligible for this solar tax credit?

[NCperson]

@toolstogo - the tax credit has nothing to do with your withholdings.

it has to do with Line 18 of form 1040.  The tax credit is deducted from Line 18; however, Line 22 can not be less than zero.  it is that simple.  So if the tax credit is more than Line 18, the remainder can be carried over to the next year or the next or the next; it can be carried forward continuously until you can use it.  (the EV credit doesn't work like that - it has to be used in the year the car is purchased). 

The line numbers are the same on both the 2021 and 2022 tax return (form 1040), so suggest checking your 2021 tax return as a guide on how this works.

[Critter-3]

Ok ... if the solar credit zeros out your federal tax liability  then the excess withholding will be refunded.  Any excess credit you cannot use this year is carried forward.