State-by-State Guide to Solar Incentives in the United States

Welcome to our comprehensive guide on solar incentives in all 50 U.S. states.

This page is designed to help you understand what solar incentives, rebates, tax credits, and financing options are available based on your location. From state tax credits and net metering to performance-based incentives and property tax exemptions, this guide provides the information you need to make an informed decision.

Alabama

• Net Metering: Limited availability depending on utility.

• State Tax Credits: None.

• Property Tax Exemption: No.

• Sales Tax Exemption: No.

Alaska

• Net Metering: Available through regulated utilities.

• State Tax Credits: None.

• Property Tax Exemption: No.

• Sales Tax Exemption: No.

Arizona

• Net Metering: Replaced by net billing; varies by utility.

• State Tax Credit: 25% of the system cost, up to $1,000.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

Arkansas

• Net Metering: Yes.

• State Tax Credits: None.

• Property Tax Exemption: No.

• Sales Tax Exemption: No.

California

• Net Metering: Net Billing (NEM 3.0).

• State Tax Credits: None.

• Property Tax Exemption: Yes (until system ownership changes).

• Sales Tax Exemption: Yes.

• Other: Numerous utility-specific rebates and programs.

Colorado

• Net Metering: Yes.

• State Tax Credits: None.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

Connecticut

• Net Metering: Transitioning to net billing.

• State Tax Credits: None.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

• Other: Green Bank offers low-interest solar loans.

Delaware

• Net Metering: Yes.

• State Tax Credits: None.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: No sales tax in Delaware.

Florida

• Net Metering: Yes.

• State Tax Credits: None.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

Georgia

• Net Metering: Limited; depends on utility.

• State Tax Credits: None.

• Property Tax Exemption: No.

• Sales Tax Exemption: No.

Hawaii

• Net Metering: Ended; net billing now in place.

• State Tax Credit: 35% of system cost, up to $5,000.

• Property Tax Exemption: Varies by county.

• Sales Tax Exemption: No.

Idaho

• Net Metering: Yes (varies by utility).

• State Tax Deduction: Up to $20,000 over 4 years.

• Property Tax Exemption: No.

• Sales Tax Exemption: No.

Illinois

• Net Metering: Yes.

• State Tax Credits: None.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

• Other: Adjustable Block Program (solar incentives based on REC payments).

Indiana

• Net Metering: Ending for new customers; replaced with net billing.

• State Tax Credits: None.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

Iowa

• Net Metering: Available through most utilities.

• State Tax Credits: Ended in 2021.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

Kansas

• Net Metering: Available but limited.

• State Tax Credits: None.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

Kentucky

• Net Metering: Yes (credits expire annually).

• State Tax Credits: None.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

Louisiana

• Net Metering: Limited.

• State Tax Credits: Ended.

• Property Tax Exemption: No.

• Sales Tax Exemption: No.

Maine

• Net Metering: Yes.

• State Tax Credits: None.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

Maryland

• Net Metering: Yes.

• State Tax Credits: Residential Clean Energy Grant ($1,000).

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

Massachusetts

• Net Metering: Yes.

• State Tax Credit: 15% of cost, up to $1,000.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

Michigan

• Net Metering: Replaced by net billing.

• State Tax Credits: None.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

Minnesota

• Net Metering: Yes.

• State Tax Credits: None.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

Mississippi

• Net Metering: Limited.

• State Tax Credits: None.

• Property Tax Exemption: No.

• Sales Tax Exemption: No.

Missouri

• Net Metering: Yes.

• State Tax Credits: None.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

Montana

• Net Metering: Yes.

• State Tax Credit: $500 individual / $1,000 couple.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: No sales tax in Montana.

Nebraska

• Net Metering: Yes.

• State Tax Credits: None.

• Property Tax Exemption: No.

• Sales Tax Exemption: No.

Nevada

• Net Metering: Yes (tiered compensation).

• State Tax Credits: None.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

New Hampshire

• Net Metering: Yes.

• State Tax Credit: $1,000 residential rebate.

• Property Tax Exemption: Varies by municipality.

• Sales Tax Exemption: No sales tax in New Hampshire.

New Jersey

• Net Metering: Yes.

• State Tax Credits: None.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

• Other: Successor Solar Incentive (SuSI) program.

New Mexico

• Net Metering: Yes.

• State Tax Credits: 10% of system cost, up to $6,000.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

New York

• Net Metering: Being phased out.

• State Tax Credit: 25% of system cost, up to $5,000.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

North Carolina

• Net Metering: Yes.

• State Tax Credits: Expired.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

North Dakota

• Net Metering: Yes.

• State Tax Credits: None.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

Ohio

• Net Metering: Yes.

• State Tax Credits: None.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

Oklahoma

• Net Metering: Yes (limited system size).

• State Tax Credits: None.

• Property Tax Exemption: No.

• Sales Tax Exemption: No.

Oregon

• Net Metering: Yes.

• State Tax Credit: Oregon Solar + Storage Rebate Program.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: No sales tax in Oregon.

Pennsylvania

• Net Metering: Yes.

• State Tax Credits: None.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

Rhode Island

• Net Metering: Yes.

• State Tax Credit: Renewable Energy Fund rebates.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

South Carolina

• Net Metering: Yes.

• State Tax Credit: 25% of system cost.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

South Dakota

• Net Metering: Limited.

• State Tax Credits: None.

• Property Tax Exemption: No.

• Sales Tax Exemption: No.

Tennessee

• Net Metering: No formal policy.

• State Tax Credits: None.

• Property Tax Exemption: No.

• Sales Tax Exemption: No.

Texas

• Net Metering: Varies by utility.

• State Tax Credits: None.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

Utah

• Net Metering: Net billing system.

• State Tax Credit: Capped at $400.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: No.

Vermont

• Net Metering: Yes.

• State Tax Credits: None.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

Virginia

• Net Metering: Yes.

• State Tax Credits: None.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

Washington

• Net Metering: Yes.

• State Tax Credit: Community Solar incentives.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

West Virginia

• Net Metering: Yes.

• State Tax Credits: None.

• Property Tax Exemption: No.

• Sales Tax Exemption: No.

Wisconsin

• Net Metering: Yes.

• State Tax Credits: None.

• Property Tax Exemption: Yes.

• Sales Tax Exemption: Yes.

Wyoming

• Net Metering: Yes.

• State Tax Credits: None.

• Property Tax Exemption: No.

• Sales Tax Exemption: No.

Federal Solar Investment Tax Credit (ITC)

• Residential ITC: 30% of total system cost through 2032.

• Eligibility: Applies nationwide.

• Includes: Equipment, installation, and certain battery storage costs.

Note: Incentives are subject to change. Check your state and local utility providers for the most updated details.

Looking to go solar? Contact us to get a quote or learn more about installing solar for your home or business!