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We use your location to provide localized solar offers and incentives.
We serve MA, NH, CT, RI, ME, VT, NJ, PA, and TX
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Use the free estimator for a preliminary layout, or share your preferred response method with the commercial team. Final feasibility still requires site, utility, and engineering review.
Stack up to 70% in federal tax credits. MACRS depreciation. Direct Pay for tax-exempt entities. The most generous incentives in solar history.
30%
Base ITC
Up to 70%
Max Stacked ITC
20% in 2026
MACRS Bonus
Tax-exempt entities
Direct Pay
The 2026 ITC under Section 48E provides a 30% base credit (with prevailing wage/apprenticeship), stackable with +10% domestic content, +10% energy community, and +10-20% low-income bonuses for up to 70% total. MACRS 5-year depreciation with 100% first-year bonus (permanent under the OBBBA) adds significant additional tax savings. Tax-exempt entities can use Direct Pay for cash payments. The begin-construction window closed July 4, 2026: projects that began construction on or before that date locked in the full §48E timing pathway; projects starting now still qualify but must be placed in service by December 31, 2027.
Free address-based tool
Estimate preliminary roof, carport, or ground-mount capacity first. Incentive eligibility still depends on ownership, timing, location, labor, sourcing, and verified project facts.
No account required to see your roof result
30% (6% without prevailing wage)
The Section 48E Investment Tax Credit provides a 30% credit on commercial solar installations that meet prevailing wage and apprenticeship requirements. This is the cornerstone federal incentive for commercial solar.
5-year MACRS + 100% first-year bonus depreciation
Modified Accelerated Cost Recovery System (MACRS) lets businesses depreciate commercial solar over 5 years. Under the OBBBA, 100% first-year bonus depreciation was permanently restored for equipment placed in service after January 19, 2025.
100% first-year — permanent
100% first-year bonus depreciation is permanent for commercial solar placed in service after January 19, 2025. The 20% figure that still appears in 2026 articles and AI answers comes from a phasedown the OBBBA repealed.
30% with prevailing wage
Commercial battery storage still earns the 30% Section 48E credit, with no solar-pairing requirement and without the placed-in-service deadline that applies to wind and solar facilities.
+10% bonus
An additional 10% ITC bonus for commercial solar projects that use US-manufactured components meeting specific domestic content thresholds.
+10% bonus
An additional 10% ITC bonus for commercial solar projects located in designated energy communities, including brownfields, coal closure areas, and fossil fuel employment areas.
Up to 70% cash payment
Direct Pay allows tax-exempt entities including schools, municipalities, nonprofits, and tribal entities to receive the ITC as a direct cash payment from the IRS.
$0.88–$0.95 per $1 of credit
Section 6418 lets a taxable business sell its Section 48E solar Investment Tax Credit to an unrelated buyer for cash — typically $0.88 to $0.95 per $1 of credit. It is the dominant way small and mid-size commercial projects monetize the ITC without structuring a tax-equity partnership.
Compliance requirement
Foreign Entity of Concern (FEOC) restrictions prohibit the use of Chinese, Russian, Iranian, and North Korean components in ITC-eligible solar projects. Understanding compliance is critical for maintaining tax credit eligibility.
Up to $1,220,000 deduction (2026)
Section 179 allows businesses to deduct the full cost of qualifying commercial solar equipment in the year it is placed in service, rather than depreciating it over multiple years.
Begin-construction safe harbor closed July 4, 2026
Projects starting now generally must be placed in service by December 31, 2027; FEOC component-sourcing rules are ongoing
FEOC battery restrictions take effect
Battery storage components from FEOC entities no longer qualify for ITC
IRS finalizes domestic content guidance
Clear rules for calculating manufactured product percentages
OBBBA restores 100% MACRS bonus depreciation (permanent)
IRC §168(k) permanently set to 100% for property placed in service after Jan 19, 2025; the prior phasedown toward 0% is reversed
Section 48E begin-construction lock-in date
Projects that began construction on or before this date locked in the full timing pathway (placed in service through ~2030); projects beginning after still qualify but generally must be placed in service by Dec 31, 2027
FEOC threshold increases to 50%
Higher domestic/non-FEOC content required for manufactured products
The maximum stacked ITC is up to 70% of total project cost: 30% base ITC + 10% domestic content + 10% energy community + 20% low-income community bonus. Plus MACRS 5-year depreciation adds another 15-20% in tax savings.
Our team helps you navigate ITC stacking, MACRS depreciation, and state incentives to minimize your net cost.