California residents can save thousands per year with new tax benefits

J.R. Heimbigner

Would you like to save or earn thousands of dollars each year? If so, then it is definitely looking into some of the government benefits you can receive by going using solar energy in California.

Some of the advantages of solar energy include lowering (or eliminating) your electric bill, raising your home value, reducing your carbon footprint, and even earning money back on your investment. (source)

Federal Tax Credit saves you substantial money

The federal government has offered a tax credit to help offset the cost of installing a solar in California. According to the United States Department of Energy Efficiency and Renewable Energy, In December 2020, Congress passed an extension of the ITC, which provides a 26% tax credit for systems installed in 2020-2022, and 22% for systems installed in 2023. Best of all, there is no maximum amount that can be claimed.

Lower or eliminate your electric bill

According to Consumer Affairs, the average cost to install solar panels in the United States is about $12,000. While that is definitely an investment, the long-term benefits definitely add up. The 26% tax credit alone could give you a benefit of $3,120 with your federal taxes out of the gate. Remember, solar energy lowers (or even eliminates) your electric bill too. With the average household paying over $1,905 on energy in California, you will save even more by going solar. You can even make money on your initial investment as you pay off the cost of installation.

Would you consider going solar?

Why or why not?

Feel free to share your thoughts in the comments.

Disclaimer: Please be aware that this article is only for educational and informational purposes.

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