Solar energy is becoming an increasingly important source of electricity worldwide. There are many different methods for generating solar power including rooftop panels, systems mounted on the ground, and other large-scale projects. There are plenty of options available for you to choose from when it comes to installing solar panels in Denver.
But why exactly should homeowners like you upgrade to solar power? Simply put, there’s never been a better time for homeowners to make the switch to this renewable energy. Here’s why.
Solar Tax Credits
A tax credit is a sum of money that reduces the amount of income tax owed by a certain percentage or a set dollar amount. For example, claiming a $1,000 federal income tax credit will reduce your federal taxable income by $1,000 (and thus lowers the amount you need to pay on your federal income taxes). Federal tax credits are available for energy efficiency improvements, which are sometimes called an investment tax credit (ITC). By upgrading to solar energy, you can take advantage of a great investment tax credit.
How Can Tax Credits Apply to Solar Panels in Denver?
The federal residential solar energy credit is a tax credit available to homeowners who install photovoltaic (PV) systems. The system must be connected to the grid during the tax year and generate electricity for a U.S. home.
In December 2020, Congress passed an extension of the Solar Income Tax Credit, which rewards a 26% tax credit for solar systems installed in 2020-2022. In 2023, the ITC goes down to 22%, which gives you as a homeowner more incentive to purchase solar panels in Denver sooner rather than later. The tax credit expires starting in 2024 unless it is renewed by Congress.
How Much Do Solar Panels in Denver Save You?
With 300 days of sunshine each year in Colorado, installing solar panels in Denver has never been a better idea. Solar systems have not only become more efficient over the years, but they’ve also become more affordable too. For Colorado homeowners, solar panel systems are 70% cheaper than when they emerged in the market in 2006.
Over the system’s lifetime, most homeowners can save up to $10,000-$30,000 on their electric bills by installing a solar panel system. You can benefit from serious savings thanks to this renewable energy. Your exact savings can vary based on a number of factors including your location, current energy usage trends, and the solar panel system itself. Most importantly, solar savings are influenced by the price you pay for electricity.
With a solar panel system in Denver, you’ll be able to use the energy you generate from the sun right away. This source of renewable energy will greatly reduce the cost of your electricity bills, which includes your monthly connection fee and anything else you might be charged when using extra energy. If, for example, your utility bill was $199 per month, a solar system will likely drop your monthly utility bill to $19.
Are You Ready to Take the First Step to Energy Freedom?
Call or contact EcoMark Solar today to schedule a consultation and learn more about why you should upgrade to solar today.