SAVE BIG ON SOLAR WITH
COMMERCIAL TAX INCENTIVES

COMMERCIAL SOLAR TAX CREDITS & REBATES IN NORTH CAROLINA

Businesses can save 30% via the Federal Tax Credit, further savings via Bonus Depreciation, the USDA REAP grant, and other Federal Funding opportunities

Fuel a profitable future with solar power tax rebates

If you’ve been on the fence about switching to solar power for your commercial property or nonprofit, these solar tax incentives, rebates, and tax credits may just change your mind. Business owners and nonprofits all over NC are switching to solar, not just because it’s better for the environment but because it’s more financially feasible than ever!

Tax Credits for Commercial & Industrial Solar Panel Projects

Commercial solar energy systems provide excellent tax benefits as well. The Inflation Reduction Act (IRA) of 2022 introduced additional tax credit incentives for solar power. Commercial solar panel systems are eligible for a 30% tax credit through 2032. The 30% tax credit is now extended to non-profits as well. Commercial businesses are also eligible for another 10% tax credit if the following domestic content requirements are met:

up to 30% tax credit for non profit solar projects!

With the new provisions in the Inflation Reduction Act, non-profit entities are no eligible to receive up to 30% of the solar project cost back as a one-time payment. This can dramatically help reduce the cost of solar installations.

Talk to our team today to see how we can help your organization secure these credits.

Project Construction Date:

Required Percentage of Domestic Content

Before January 1, 2025

40%

Begins on or After January 1, 2025 and Before January 1, 2026

45%

Begins on or After January 1, 2026 and Before January 1, 2027

50%

Begins on or After January 1, 2027 and Before January 1, 2028

55%

Begins on or After January 1, 2028

55%

Additional cumulative bonus tax credits are potentially available if the following are met:

10% is added to the PTC or ITC for projects in certain “energy communities”, which includes brownfield sites, areas that meet employment percentages in the coal, oil or natural gas industries, and areas where a coal mine or coal powered electrical plant has closed down.
20% is added to the ITC for solar wind projects located in select low-income communities, low-income residential buildings, or American Indian owned land.

The Rural Energy for America Program (REAP) also provides financial assistance for solar energy in rural communities. The USDA REAP grant program was allocated $2 billion until 2031 to provide grants and loan guarantees to rural small businesses including farmers and ranchers. The Federal commercial solar panel cost share for grants under REAP was raised from 25% to 50%.

The solar power tax incentives you need for an inflation-proof organization

Get more tax credit than ever for your solar assets

Offset the cost of your solar panel installation by taking advantage of the many federal, state, and local tax rebates on offer – many of which are at their most lucrative, thanks to the Inflation Reduction Bill. Depending on your location, USDA REAP grants are also available. Not sure what tax credit you can get?

Solar tax credit options for nonprofits and businesses in NC

Federal Solar Investment Tax Credits

Get a 30% federal solar tax credit when you install solar panels in your commercial or nonprofit property without caps on expenses – so even if you invest 100K, you’ll still get a 30K tax credit!

Depreciation Earnings

The Modified Accelerated Cost Recovery System (MACRS) depreciation system allows systems to be depreciated to zero over five years, which allows for additional tax earnings most homeowners are unable to get.

USDA REAP Tax Exemption

Depending on the location of the property, the United States Department of Agriculture Rural Energy for America Program (USDA REAP) can provide up to a 50% rebate on the project costs.

Net Metering

Did you know that utility companies will buy your solar panel system’s excess energy? That means you can reduce electricity bills while also earning extra income

How you benefit from
solar energy incentive programs

Tax incentive programs give you the opportunity to embrace clean energy solutions, increase profit, future-proof your business or nonprofit, and significantly cut energy costs. Here are a few more advantages energy incentive programs offer commercial and nonprofit customers.

Benefits for commercial energy customers

Make solar installation affordable
Attract eco-conscious customers
Become energy-independent
Drastically reduce your overheads
Future-proof your business
Offset rising inflation by generating your own power

Benefits for nonprofit energy customers

Keep running costs low
Make a positive impact
Encourage donations
Impress donors
Control energy consumption
Make running on solar energy feasible

Why we are the #1 solar panel company

Frequently asked QUESTIONS

Will the federal solar tax rebate stay at 30%?

Though the federal solar tax rebate will stay in place for commercial property owners, businesses, and nonprofits until 2035, it will actually decrease gradually over the next decade. In 2033, the tax rebate will drop to 26% and in 2034 it will drop to just 22%.

Our advice? Strike while the iron’s hot and get your solar panel installation completed soon to enjoy the maximum tax credit.

How many years can you carry forward solar tax credits?

You can carry forward unused solar tax credits for up to five years. So, if your 30% federal tax credit is worth $5,000, and you owe $4,500 in tax credits, then you can carry the remainder forward to the next year.

Do I qualify for the federal solar tax rebate?

According to the government, businesses qualify for the 30% federal solar tax rebate if their solar PV system is:

Used by a business that pays federal income tax
Used by a business located in the US
New and not used solar energy equipment
Not used for heating up a swimming pool

If you’re a commercial property or business owner, our solar experts can help you understand what tax credits you qualify for and how to avail of them. Just give us a call!

How did the NC solar incentives come about?

North Carolina solar incentives first started as a result of House Bill 589 in 2017. With this bill, clean energy advocates created a way to incentivize individuals to choose solar in North Carolina. The bill’s purpose is to minimize switching costs by offering local rebates for individuals seeking affordable clean energy.

Are tax credits available for solar depreciation?

Yes, accelerated depreciation is a tax-deductible expense for companies in North Carolina with solar panels. MACRS depreciation system allows systems to be depreciated to zero over five years, which allows for additional tax earnings for commercial businesses in NC.

Custom-designed
solar solutions

At 8MSolar, we approach commercial solar system design with an engineering first approach. When discussing your system with 8MSolar, you will not be talking to a salesperson. You will talk to actual licensed professional engineers (PEs) who have implemented dozens of similar systems throughout the US. They will be able to help you decide if your property is a good candidate for solar and design a complex system to perfectly fit the energy needs of your business.

Commercial solar panels are substantial electrical systems that need expert engineering knowledge. Trust the licensed professional engineers at 8MSolar to give you unbiased, independent design studies and help you deliver the ideal system for your facility.

COMMERCIAL SOLAR TAX CREDITS & REBATES IN NORTH CAROLINA

Businesses can save 30% via the Federal Tax Credit, further savings via Bonus Depreciation, the USDA REAP grant, and other Federal Funding opportunities

Fuel a profitable future with solar power tax rebates

Tax Credits for Commercial & Industrial Solar Panel Projects