Solar Tax Credit

Posted by Amanda Taylor on February 09, 2009.

A solar golf cart top is a great alternative to regular electric power, it saves the environment as well as providing benefits to the vehicle. It can also save you money on electricity and frequent battery replacements. So, if you are considering a solar system for these reasons then the tax credit will be a great bonus to look forward to.

We wrote this article to help you better understand the possible tax benefits of switching to a solar power system for your golf cart!! We are not tax professionals and don’t promise any of the information contained within. We strongly recommend checking with your CPA and other state agencies if you are only considering a system for tax purposes!!

As of January 1, 2006 an investment tax credit of 30% went into effect for utilizing solar power (IRS Form 3468 line 2b allows for a 30% tax credit for investing in solar). The solar panel and batteries are all considered part of a solar system on a vehicle. So, in addition to the solar credit you will be able to write off approximately $325 per year on your battery system!!

If you have an EIN # and choose to write off your cart as a lease or purchase over a 5 year period, you will achieve up to 155% of your investment back!! Or you can chose to simply take the deduction at the end of the 1st year, and receive the one time credit of 30%. In addition you will be able to write off approximately $325 per year on your battery system!!

Individuals will receive the 30% first year credit and the yearly battery advantages.

In addition, if you purchase a new set of batteries at the same time you purchase your solar system, it is our understanding that you get to deduct the full amount of those battery costs!!

Some states may allow additional tax credits and sales tax exceptions such as California, Arizona, and Florida!! Please check with your CPA and local state for more information.

For more information on the benefits of switching to solar power please check out our Solar Golf Cart Top FAQs or view our solar product line!!