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Previously, the abatement reduced the property tax burden of solar owners by up to 20% of the price paid for the system (aka eligible expenditures). Beginning in 2024, it is now worth up to 30% of eligible solar and battery expenditures up to $250,000.
The Solar Electric Generating Systems Tax Abatement program provides a four-year tax abatement of 5% of eligible expenditures. The maximum abatement is $62,500 per year for 4 years or the buildings annual tax liability (whichever is less). Contact the Department of Buildings for more information.
Solar panels purchased in New York are exempt from state sales taxes.
File Form 5695, Residential Energy Credits with your tax return to claim the credit. You must claim the credit for the tax year when the property is installed, not merely purchased.
New York offers a 25% state tax credit for home solar systems, which can be combined with the 30% federal tax credit. Unlike the NY-Sun rebate, which is available for homes and businesses, the state tax credit is exclusively for homeowners who solar panels for their primary residence.
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Also known as the co-op and condo tax abatement, the cooperative and condominium property tax abatement allows owners of a co-op or condo in New York City to reduce their property taxes from 28.1% to 17.5% depending on the average assessed value of the property.
Under the Inflation Reduction Act, passed in August 2022, the federal solar tax credit is worth 30% of your total system cost.
No, New York does not have any programs offering free solar panels as of 2023. You can get a cash rebate from the NY-Sun Megawatt Block Program, but it covers less than 10% of your solar installation costs.

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