If you’re looking for a way to make the environmentally conscious solar panel systems available for homes and businesses a financially realistic possibility, the Iowa Solar Panel System Tax Credits are a great way to alleviate some of the costs that you may be responsible for otherwise.
The Iowa Department of Revenue does offer separate tax credits for homes and businesses who choose to install and utilize the technology of solar energy panels to improve their environmental footprint while powering their property. These tax credits are provided on a first come first serve basis each year until the cap for that year has been met. The application process must be completed after the system has been installed for homes and after the system has been placed into service for businesses.
Applications may need to include the invoice from the solar panel system and installation, a verification from the utility company showing its’ usage, and the amount of the tax credit to be reserved. Once your application has been sent, the Department of Revenue will send a letter acknowledging whether you are eligible for the tax credit based on the timeliness of your application in regards to their credit cap for the year. Your letter will provide you with an amount of the tax credit and provide a tax credit certificate number which you will be able to claim on your Iowa tax return using form IA 148 Tax Credits Schedule during your tax completion for that given year.