Roof Included In Solar Credit

This to me is clear that roofing work that is done to support a solar system can be included as part of your tax credit claim.

Roof included in solar credit.

Components such as a roof s decking or rafters that serve only a. To claim the credit you must file irs form 5695 as part of your tax return. If you end up with a bigger credit than you have income tax due a 3 000 credit on a 2 500 tax bill for instance you can t use the credit to get money back from the irs. I am struggling with advising my clients to proceed with the project since his decision is based on including the roof in the credit.

If anyone can shed further light on what i m interpreting here please weigh in. And he will happily get to include the repairs along with the solar job when he files his 2017 returns. However some solar roofing tiles and solar roofing shingles serve as solar electric collectors while also performing the function of traditional roofing serving both the functions of solar electric generation and structural support and such items may qualify for the credit. Solar pv panels or pv cells used to power an attic fan but not the fan itself contractor labor costs for onsite.

The credit can only be claimed on the original installation of the solar equipment. I would also go further and say that since you cannot do 50 of your roof if you need to do your roof in order to support solar then the entire cost of the roof is eligible for the tax credit. 1 48 9 k to be included in calculating the energy credit when adding a new roof and solar panels to the property. 48 one may reasonably assume that the irs would take a position consistent with letter ruling 201523014 and only permit the incremental costs as defined in regs.

The eligible cost can also include any direct site preparation such as small repairs to the roof surface or a tree removal for sun optimization. Filing requirements for solar credits. The solar pv system is new or being used for the first time. You calculate the credit on the form and then enter the result on your 1040.

Additionally eligible costs that qualify for the federal investment tax credit include the equipment directly related to the system such as the solar panels racking inverters wiring and monitors. Thanks for the great question and all the best to you on your new roof project. For commercial solar energy under sec. It seems the roof would be an energy credit limited to the 500 and the 30 would only apply to the solar portions.

The following expenses are included. What expenses are included. The residential renewable energy tax credit as the irs calls it can be an attractive way to save on the significant cost of installing solar panels or roofing an average sized residential solar. In this member s case the roof didn t need to be replaced.