Residential Renewable Energy Income Tax Credit (Massachusetts)
Last modified on December 17, 2014.
Financial Incentive Program
|Name||Residential Renewable Energy Income Tax Credit|
|Incentive Type||Personal Tax Credit|
|Eligible Technologies||Solar Water Heat, Solar Space Heat, Photovoltaics, Wind|
|Energy Category||Renewable Energy Incentive Programs|
|Carryover Provisions||Excess credit may be carried forward three years|
|Eligible System Size||Not specified|
|Equipment Requirements||System must be new and in compliance with all applicable performance and safety standards and must be reasonably expected to remain in operation for at least five years.|
|Program Administrator||Massachusetts Department of Energy Resources (DOER)|
|References||DSIREDatabase of State Incentives for Renewables and Efficiency|
Massachusetts allows a 15% credit -- up to $1,000 -- against the state income tax for the net expenditure* of a renewable-energy system (including installation costs) installed on an individual’s primary residence. If the credit amount is greater than a resident's income tax liability, the excess credit amount may be carried forward to the next succeeding year for up to three years. Eligible technologies include solar water and space heating, photovoltaics (PV), and wind-energy systems. The original use of the system must begin with the taxpayer, and the system should “reasonably be expected to remain in operation for at least five years.”
The credit is available to any owner or tenant of residential property. For a newly constructed home, the credit is available to the original owner/occupant. Joint owners of a residential property shall share any credit available to the property under this subsection in the same proportion as their ownership interest. Any excess credit amount may be carried over to the next 1-3 taxable years.
* The term "net expenditure" is defined as the total of the purchase price for any renewable energy source property and installation cost less any federal tax credits and rebates/grants received from the U.S. Department of Housing and Urban Development.
|Contact Name||Tax Information|
|Department||Massachusetts Department of Revenue|
|Address||P.O. Box 701|
Authorities (Please contact the if there are any file problems.)
|Authority 1:||M.G.L. Ch. 62, § 6(d)|
|Authority 2:||830 CMR 62.61|
- Incentive and policy data are reviewed and approved by the N.C. Solar Center's DSIRE project staff.