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The 30% federal tax credit is gone for homeowners. But Maine offers 100% statewide property tax exemption and 5.5% sales tax exemption. Section 30C for EV chargers is still active until June 30, 2026. Here is every tax benefit available.
Section 25D residential solar ITC: EXPIRED. $0 for homeowner purchases in 2026.
The federal tax credit previously saved ~$8,235 on a 9 kW system. In 2026, the only tax benefits for Maine homeowners are property and sales tax exemptions. Learn more
Property Tax Saved
$381/yr
100% exempt statewide
Sales Tax Saved
$1,510
5.5% exempt
25-Year Tax Savings
$11,060
Combined property + sales
Federal ITC
$0
Expired Dec 2025
Two still active for homeowners, one expired, and two available through specific structures.
~$381/year
Solar energy equipment is 100% exempt from property tax assessment statewide in Maine. Unlike New Hampshire (local option), this is a statewide mandate — all municipalities must honor it.
~$1,510 (one-time)
Solar equipment and installation labor are exempt from Maine's 5.5% sales tax.
$0 — Expired Dec 31, 2025
Section 25D expired December 31, 2025 under the OBBBA (signed July 4, 2025). $0 available for homeowner cash or loan solar purchases in 2026.
30% for third-party system owners
Section 48/48E still available for projects beginning construction before July 4, 2026. The THIRD-PARTY SYSTEM OWNER (financing company) claims the ITC, not the homeowner or installer. Relevant for PPA and lease agreements.
Up to $1,000 residential
Up to $1,000 for residential EV charger installation. Expires June 30, 2026.
How much the property and sales tax exemptions save you based on your system size.
| System | Gross Cost | Sales Tax Saved | Prop Tax Saved/yr | 25-Year Total |
|---|---|---|---|---|
| 5 kW | $15,250 | $839 | $212/yr | $6,139 |
| 8 kW | $24,400 | $1,342 | $339/yr | $9,817 |
| 9 kW | $27,450 | $1,510 | $382/yr | $11,060 |
| 12 kW | $36,600 | $2,013 | $509/yr | $14,738 |
Based on Maine's average effective property tax rate of 1.39% and 5.5% sales tax rate. Actual property tax savings depend on your municipality's assessment practices.
Maine's property tax exemption is among the strongest in New England because it is a statewide mandate, not a local option.
| State | Property Tax | Sales Tax | State Rebate | Federal ITC |
|---|---|---|---|---|
| Maine | 100% exempt statewide | 5.5% exempt | None | $0 (expired) |
| New Hampshire | Local option (~66% of towns) | 0% (no state sales tax) | Repealed (SB 303) | $0 (expired) |
| Massachusetts | 20-year exemption | 6.25% exempt | SMART $0.03/kWh | $0 (expired) |
| Connecticut | Local option | 6.35% exempt | RRES (check status) | $0 (expired) |
While the solar ITC is gone, the EV charger credit remains. Up to $1,000 for residential installations (30% of cost). If you are adding solar panels alongside an EV charger, this is the one remaining federal credit you can still claim as a homeowner. The credit expires June 30, 2026 — not December 31, 2025 like the solar ITC.
Residential Max
$1,000
Credit Rate
30%
Expires
June 30, 2026
Based on a typical 9 kW system ($27,450).
Sales Tax Saved (Year 1)
$1,510
Prop Tax Saved (Annual)
$382/yr
25-Year Property Tax
$9,550
25-Year Total
$11,060
Without the federal ITC, these tax exemptions represent the only tax-based savings for Maine homeowners. Combined with NEB credits ($2,916-$3,456/year), the full financial picture still supports solar — especially for Versant customers at higher rates.
Yes. Solar energy equipment is 100% exempt from property tax assessment statewide in Maine. This is a statewide mandate — all municipalities must honor it. Solar adds approximately $15,000-$20,000 to your home value but $0 to your property tax bill. Based on a 9 kW system ($27,450) and Maine's average 1.39% effective property tax rate, this saves approximately $381 per year, or $9,525 over 25 years.
Maine's 5.5% sales tax exemption saves approximately $1,510 on a typical 9 kW system ($27,450). This applies to all solar equipment (panels, inverters, racking), batteries, and installation labor. The savings are applied at purchase, reducing your upfront cost or financed amount.
No. The residential solar tax credit (Section 25D) expired December 31, 2025. Homeowners who purchase solar with cash or a loan in 2026 receive $0 in federal tax credits. However, the commercial ITC (Section 48/48E) is still available for third-party system owners through July 4, 2026. This means PPA and lease customers still benefit from the 30% credit through lower rates.
Section 30C is the EV charger tax credit — up to $1,000 for residential installations (30% of cost). Unlike the solar ITC, this credit has NOT expired. It remains active until June 30, 2026. If you are installing solar alongside an EV charger, you can still claim this credit. It is one of the few remaining federal clean energy credits for homeowners.
Maine's property tax exemption is stronger. In Maine, the exemption is a statewide mandate — all municipalities must honor it. In New Hampshire, it is a local option under RSA 72:62 that requires each town to vote to adopt it (approximately 66% of NH towns have done so). Maine residents have guaranteed protection regardless of which municipality they live in.
For a typical 9 kW system ($27,450): sales tax exemption saves ~$1,510 upfront, and property tax exemption saves ~$381/year ($9,525 over 25 years). Total combined tax savings over 25 years is approximately $11,035. These are the ONLY tax benefits available to Maine homeowners — there is no federal ITC and no state rebate.
Homeowners cannot depreciate residential solar equipment. However, if you own a business and install solar on commercial property, you may qualify for MACRS depreciation (5-year accelerated). In 2026, bonus depreciation is 20% (down from 40% in 2025). Combined with the Section 48 ITC (30%), commercial solar has significant tax advantages that residential does not.
Yes. Maine's property tax exemption covers solar energy equipment, which includes battery storage systems installed alongside solar. The sales tax exemption also applies to batteries and their installation. A typical home battery system ($10,000-$15,000) would add no property tax while saving $550-$825 in sales tax.
See exactly how much property and sales tax exemptions save you based on your system size. Honest 2026 numbers — no inflated ITC claims.