Your Guide to Tax Credit
Here's an example of how the credits may be calculated
|Gross System Cost||$5,759.16|
|Hawaii Energy Rebate||$750.00|
|Payment upon Completion||$5,009.16|
|Federal Tax Credit (30%)||-$1,502.74|
|Hawaii Tax Credit (35% of system cost)||-$1,753.20|
|Net System Cost||$1,753.22|
The gross system cost for a hot water system will depend on:
- How many people live in your household?
- What area of the island? (so we can determine your sun zone)
- Where water heater tank is located now & how accessible is that area.
- Is it a one or two-story building?
- Type of existing roofing material.
- How south is your roof face and the angle of your pitch?
30% Federal Tax Credit
35% State of Hawaii Tax Credit
There is a $500 co-payment from Hawaii Energy Efficiency Program
at this time for converting a residential electric heater to solar hot water.
These incentives may be available when you put a new solar system on your residence in Hawaii:
*Disclaimer: This example is for illustrative purposes only and should NOT be considered to be tax advice. Consult with your tax advisor, IRS, or State of Hawaii tax office to determine how these credits should be calculated or your own individual situation. The State of Hawaii has a $2,250 cap on the tax credit.