State of Florida Commercial Solar Incentives
• Renewable Energy Production Tax Credit
Florida’s annual corporate tax credit is equal to $0.01 per kilowatt hour (kWh) of electricity produced and sold by the taxpayer to an unrelated party in one year. Currently, this credit can be claimed for electricity produced and sold from January 1, 2007 through June 30, 2010. Contact the Department of Revenue for credit allocation, application and participation information.
• Solar Equipment Sales Tax Exemption
Solar equipment and its requisite hardware are exempt from Florida state sales and use tax. Labor is not taxable in Florida.
Federal Commercial Solar Incentives
• Modified Accelerated Cost-Recovery System + Bonus Appreciation - PDF Download
A structure or major piece of equipment built or installed to permanently add value and capacity to a commercial property, such as a PV system, can qualify for accelerated depreciation tax advantages through the Modified Accelerated Cost Recovery System (MACRS). The federal Economic Stimulus Act of 2008, enacted in February 2008, included a 50% bonus depreciation provision for eligible renewable-energy systems acquired and placed in service in 2008.
• Energy Tax Credit
Through 2016, businesses are eligible for a federal tax credit equal to 30% of the installed cost of a solar electric system or solar water heater. There is no tax credit cap on solar electric system or solar water heater installations.
• Renewable Energy Production Incentive (REPI)
The Federal Energy Production Tax Credit can be claimed for the first ten years of your system operation. Financial incentive payments for electricity produced and sold is $0.015 per kWh. Though available through 2026, this incentive is subject to annual federal appropriations.