Arizona offers a up to 100% sales tax exemption to solar retailers and contractors who are registered with the Department of Revenue prior to sale or installation of solar devices. Some cities also exempt these entities from city privilege tax on sales or installations of solar devices. Collectors, heat exchangers, and storage units of solar energy systems sold or installed in Arizona are required to have a warranty of two years or more, or guarantee the energy production output for two years. Other system components must have a warranty of one year or more.
