With the governor lifting the “stay-at-home order”, this is a time to seize every beneficial, financial opportunity while you still can. New Jersey was one of the states that was largely effected by COVID-19. Because of this, everyone has been working hard to do their part and “flatten the curve”. Here, at Vision Solar, we have been doing everything we can to do our part, while also finding simple ways to help you during this process. It seems that COVID-19 has brought the perfect opportunity for our New Jersey residents to switch to solar power within their homes. Vision Solar is one of the fastest growing solar panel companies within the US. With our vision focused on our customers, we have provided 3 impactful ways that going solar can save you money.
- Tax Exemptions
New Jersey is known for our high taxes on just about everything. However, by switching to solar, you have the ability to be exempt from certain taxes on solar panels that other states may not be. For example, when you purchase your home solar system, you are completely exempt from any sales tax because of the PV Energy Sales Tax Exemption. However, if you are a person who is not purchasing your system and instead leasing, it is important to remember that you will not have to pay any additional property taxes even though the solar panels are adding to the value of your home. This is due to the Property Tax Exemption for Renewable Energy Systems. These two exemptions give you all the benefits of your home solar system, without ever having to worry about any additional taxes being added on to what you already have.
- Tax Credits
One of the best tax credits for your residential solar panel installation in New Jersey is the Federal Solar Tax Credit, also known as ITC. This tax credit is calculated by taking 26% of the costs of installing a PV (photovoltaic) system. So, if your home solar system costs $25,000 in 2020, your tax credit would be $6,500 ($25,000 x 26% = $6,500). This particular tax credit was created in 2005 in order to boost the renewable energy market in the United States. To claim this tax credit, ask for Form 5695 when filing your taxes.
- Net Metering
Net Metering in New Jersey is unlike any other state. The overall concept of net metering gives you the opportunity to be able to sell the excess energy that you generate back to the grid. However, the rate that the energy is retailed for is significantly higher than the wholesale rate. What this means is that you are receiving a much better rate than any other energy producers, such as large power plants. The benefits of this concept allows you to manage your energy usage and gives you the ability to earn enough money back to allow your panels to pay for themselves. No energy is wasted and more importantly, no money is wasted.
It is important to remember that as the renewable energy market continues to increase, these incentives continue to decrease. Our best advice, take advantage of this opportunity while you still can.
If you’re ready to learn more, contact Vision Solar today. We’ll provide a free quote and schedule a comprehensive assessment to help begin the process, so you can take advantage of clean, green energy from the sun.