Solar Opportunities - Kentucky

Solar Offerings and Incentives

Homeowners in Kentucky who install solar equipment are eligible for the tax incentives described below.

State and Local Incentives

Renewable Energy Tax Credit (Personal)

Kentucky offers a Renewable Energy Tax Credit for residential systems these include passive solar space heat, solar water heat, solar space heat, and photovoltaic systems. For residential systems, the tax credit is 30% of the eligible equipment costs and has a maximum of $500. A list of the equipment included as well as more information on eligibility and how to claim the tax credit can be found here.

Federal Residential Renewable Energy Tax Credit

A federal-level investment tax credit (ITC) is now available to consumers wanting to purchase small wind turbines, solar panels, or geothermal heat pumps.  The ITC, written into law through the Emergency Economic Stabilization Act of 2008, is available for equipment installed from Oct. 3, 2008 through Dec. 31, 2016. The credit covers 30% of the equipment cost, though some technologies have a credit cap of $2000. More details and a complete list of eligible technologies can be found here.