Arizona State Residential Solar Tax Credit

Homeowners can claim a 25% tax credit on up to $4,000 of solar devices installed on a residence (effectively a maximum credit of $1,000). This is a one time tax credit and restricts the homeowner for additional credits for solar purchases made for the same residence in subsequent years.

The law establishing the tax credit imposed several requirements on the seller of solar devices in order to qualify the equipment and application. Title 44, chapter 11, article 11 of the Arizona revised statues (44-1761- Definitions, and 44-1762 - Solar energy device warranties; installation standards; inspections) detail the requirements. The Arizona Department of Commerce has issued guidelines (in 1993) for the required certificate to the buyer that the solar energy device complies with the requirements of the tax credit. the Arizona Registrar of Contractors later assumed this responsibility but has not yet issued any further requirements.

The Arizona Registrar of Contractors is responsible for licensing installers of solar devices and is in the process of establishing appropriate solar electric standards for installers. Licensing of domestic solar hot water installers has been in place for several years. There is also an installer certification program for solar hot water system installers.

The actual tax credit is obtained by filing form 310, Credit for Solar Energy Devices, as an attachment to the regular annual income tax return (Arizona DOR form 140).

Download Form: AZ State Form 310
Download Instructions: AZ Form 310 Filing Instructions
Download Letters: AZ State Tax Credit Letter for Natural Light Products | AZ State Tax Credit Letter for Velux Products

Individual Federal Tax Credit information supplied from www.EnergyStar.gov.
The Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 may be viewed here.
Tax Credit information for commercial buildings supplied from www.EnergyStar.gov.
Arizona State Tax Credit information supplied from www.AZSolarCenter.org