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
Businesses that produce renewable chemicals from a biomass feedstock are eligible for a tax credit on renewable chemicals produced between 2017 and 2036. This tax credit is allowed against income, corporate, and franchise taxes. Eligible claimants include partnerships, limited liability companies, S corporations, cooperatives organized
Maryland offers a property tax exemption up to 100% for solar thermal technologies. A broad range of claimants are eligible including commercial, agricultural, residential, and industrial entities.
Montana law exempts capital investments in non-residential buildings that generate energy from non-fossil sources from property tax. Exemptions cannot exceed $100,000 and are exempt for ten years after installation. To claim the exemption, use Montana Department of Revenue Form AB-14.
New Mexico allows businesses to deduct 100% of sale and installation costs of solar systems from gross receipts before gross receipts tax is calculated.
Rhode Island offers manufacturers and residential buildings a property tax exemption up to 100% for qualifying solar thermal, geothermal, biogas, and biomass systems.
Vermont law provides for a 100% exemption from the state’s 6% sales tax for solar thermal systems used to heat water and associated thermal storage systems.
This property tax exclusion applies to active solar energy systems, defined as “a system that uses solar devices, which are thermally isolated from living space or any other area where the energy is used, to provide for the collection, storage, or distribution of solar energy.”
Innovation Fund Tax Credits, which will be available until June 30, 2028, are allowed against income, corporate, and franchise taxes. A tax credit shall be allowed against certain taxes for up to 25% of a taxpayer’s cash equity investment in a board certified innovation fund.
Maryland holds an annual sales tax holiday for ENERGY STAR appliances and equipment. Eligible items are 100% exempt from sales tax for a weekend in February, typically the third week of the month.
