Indiana - Energy tax credit, solar rebates and incentives
Indiana Renewable and Solar Energy Incentives
Alternative Power and Energy Grant Program
Eligible Technologies: Solar Hot Water, Solar Space Heat, Solar Panels (Photovoltaics), Wind Power, Biomass, Municipal Solid Waste, CHP/Cogeneration, Anaerobic Digestion, Small Hydroelectric
Incentive Amount: Up to 50% of project cost - total not to exceed $100,000 per project
Federal Energy Tax Credit (Residential/Commercial)
Taxpayers and commercial business owners are granted an energy tax credit of 30% of the total expenses, which include installation of residential or commercial solar panel (PV) systems, solar thermal systems, fuel cells and labor expenses. Residential wind energy installations and geothermal pumps are also subject to a tax exemption.
- Solar electric systems and solar thermal heaters have no maximum incentive.
- If there is excess federal tax credit, it may be carried over to the subsequent taxable year.
- This may continue on through consecutive years until 2016, under which unused credit may or may not be expunged.
Federal Energy Conservation Subsidy Exclusion (Residential)
- Public utilities provide residential purchasers with an exemption of 100% of energy conservation subsidies.
- The overall worth of an installation or renewable utility regardless of the energy conservation capacity, will be excluded from the buyer’s gross income.
- Customers who participate in a utility company’s energy conservation program may be given a reduced rate of electricity utilized or a nonrefundable credit of the price of electricity on the customer’s monthly electric bill.
Energy-Efficient Mortgages (Residential)
- With this federal loan program, homeowners may utilize energy-efficient mortgages (EEM) to either supplement or completely fund renewable energy systems.