The Sunshine State boasts of good weather year in and out. Despite this obvious reason to go solar, the high upfront costs are daunting to many. But that was before the state introduced the Florida solar rebate and other financial incentives. These incentives are why solar generation in Florida has become popular over recent years to ensure homeowners can reduce their carbon footprint while spending less. The tax credits are not for the chosen few but for the entire state.
What Is The Florida Solar Rebate?
You have to put your money where your mouth is, and knowing how much the tax credits can save you may help. The Florida solar incentives include:
- Florida Net Metering Programs
Now you can use excess electricity produced by your panels to earn utility credits by feeding the power grid through net metering. These credits pay for the energy your home utilizes during low energy production, like during the night hours. Although this varies from state to state, Florida residents can enjoy a statewide net metering program. Homeowners can reduce their energy bills and minimize their payback period by generating more energy than they use.
- Florida Solar Panel Tax Credit
The Federal government also provides solar tax credits to Florida residents. The Federal solar power tax breaks apply in the following ways:
Solar systems installed and functioning before December 31, 2022, benefit from a tax credit of 26% of the installation value. For instance, an average 5kW solar system costs $17 885. But after the tax credit, you only have to part with $13 235.
For solar systems installed in 2023, the tax credit equals 22% of the installation value.
- Florida Solar Tax Exemptions
Adding a new addition to your home, like a sunroom, comes with higher taxes. However, Florida’s Property Tax Abatement for Renewable Energy Property incentive has got you covered. Adding a photovoltaic system doesn’t increase your taxes. In simple terms, it is not added to the property’s taxable value. Yet the addition increases your home value by 4%.
- Florida State Residential Sales Tax Exemption
The state strives to ensure the upfront cost of a solar system is nothing like the one in the open market. Purchasing a rooftop solar system exempts you from the sales tax. This helps you evade 100% of Florida’s new solar installation sales tax to save you up to 6%!
- Check Out Your Local Incentives
The sunshine state is large, and local incentives are available to support the clean energy movement. Find out from a utility company representative or check out your local government’s website. You’d be surprised by favorable solar financing alternatives. Some of these areas include Boynton Beach, Dunedin, and Jacksonville.
What Is The Average Price Of Solar Panels?
Generally, solar panels in Florida cost 2.53% per watt. However, this is subject to your locality and the number of solar units you need.
Besides energy independence and supporting a green environment, it finally makes financial sense to go solar. This is through the Florida solar rebate, tax credits, and exemptions. At the same time, find a reliable solar company for top-notch installation and long-lasting systems.