South Carolina Solar Energy Credit

For a list of incentives by category visit the south carolina tax incentives webpage.

South carolina solar energy credit.

A tax credit is an amount of money that can be used to offset your tax liability. The state of south carolina offers a number of tax incentives for energy efficiency and fuel production. The largest credit that can be applied in a single year is 3500 or 50 of your state tax liability whichever is less. South carolina s tax credits may be earned by individuals c corporations s corporations partnerships sole proprietors and limited liability companies.

South carolina code of laws 12 6 3587 states that a credit may not be allowed for a solar system unless the system is certified for performance by the nonprofit solar rating and certification corporation or a comparable entity endorsed by the state energy office. South carolina solar energy tax credit cut the cost of installing solar on your home by a quarter with south carolina s state tax credit for solar energy. Residents of the palmetto state can claim 25 percent of their solar costs as a tax credit and if you don t pay enough in taxes to get the full value of the credit in one year it. Important to note though is that any unused portion of the total tax credit can be carried.

For installing a solar energy system or small hydropower system in a south carolina facility tc 38. Make sure to include this amount and this form with. However the actual tax credit you can take for a given tax year is limited to 3500 but not to exceed 50 of your total tax liability for that year. Includes a system installed in or on a facility in south carolina owned by the taxpayer.

The south carolina solar energy tax credit is 25 30 for 2009 of the total cost of the installation. To claim the south carolina tax credit for solar you must file form sc1040tc as part of your state tax return. Includes costs of installing systems that generate electricity without cooling or heating. The energy office works in cooperation with the sc department of revenue to coordinate the application of these incentives.

The corresponding code is 038 solar energy or small hydropower system credit. South carolina s solar energy tax credit passed by the state legislature lets residents claim a state tax credit of 25 of the whole installed cost of a solar pv system. Credits are usually used to offset corporate income tax or individual income tax.