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Finance & Tax

The availability of low-cost financing for solar energy projects is a critical issue for the industry. SEIA monitors regulations and legislation that affect the markets for solar financing, and supports a number of specific programs that facilitate solar development. The U.S. also has a long history of supporting energy infrastructure through the U.S. tax code, and the market certainty provided by the long-term solar investment tax credit (ITC) has supported hundreds of thousands of U.S. jobs.

$17 billion Value of the U.S. solar market in 2018

Solar Investment Tax Credit

The solar Investment Tax Credit (ITC) is one of the most important federal policy mechanisms to support the deployment of solar energy in the United States. SEIA successfully advocated for a multi-year extension of the credit in 2015, which provides business certainty to project developers and investors. The ITC continues to drive growth in the industry and job creation across the country.

Quick Facts about the ITC
  • The ITC is a 30% tax credit for solar systems on residential (under Section 25D) and commercial (under Section 48) properties.
  • The residential and commercial solar ITC has helped annual solar installation grow by over 1,600% since the ITC was implemented in 2006 - a compound annual growth rate of 76%.
  • The existence of the ITC through 2021 provides market certainty for companies to develop long-term investments that drive competition and technological innovation, which in turn lowers costs for consumers.

Finance Programs

SEIA has a variety of initiatives on finance designed to facilitate industry organization and promote education and outreach to relevant current and potential stakeholders. Our goal is to improve comprehension, ease financing complexity, and spur capital formation and project development.

About SEIA's Finance Work

SEIA convenes several committees and working groups to conduct research, develop educational materials, and organize the various facets of the solar energy finance industry.  SEIA also organizes conferences, webinars and other forums for stakeholder engagement and industry participation. In January 2017, SEIA merged with Solar Energy Finance Association (SEFA) to provide the solar industry a single and consistent voice to the investment community. 

DOE Loan Guarantee Program
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Third-Party Solar Financing
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Property-Assessed Clean Energy
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Quality Assurance
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Tax Issues

The U.S. has a long history of supporting energy infrastructure through the U.S. tax code. The market certainty provided by a long-term investment tax credit (ITC) for solar energy has supported private investment in manufacturing and project construction, a vital part in meeting our nation's energy policy goals, driving cost-cutting innovation and job growth.

Commence Construction Guidance
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SEIA Solar Tax Manual
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Depreciation of Solar Energy Property
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Solar Tax Exemptions
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Related News

Monday, Nov 26, 2018

SEIA Urges Congress to Fix ITC Eligibility of Energy Storage This Year

In a letter filed today, the Solar Energy Industries Association (SEIA), alongside a broad coalition of energy trade and advocacy organizations, urges Congress to modify the tax code to include energy storage as an eligible technology for the investment tax credit (ITC).

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Monday, Oct 15, 2018

SEIA Revamps the Premier Tax Manual for the Solar Industry

Known throughout the industry as the must-have guide for solar tax and finance issues, the Solar Energy Industries Association (SEIA) is now releasing Version 9.0, the first comprehensive update of the SEIA Solar Tax Manual since 2016.

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Tuesday, Jun 26, 2018

Solar Developers Get a Breath of Certainty with New Commence Construction Guidance

Since its historic extension in late 2015, the solar Investment Tax Credit (ITC) has been a critical mechanism for the rapid growth of solar power in the United States. The only thing missing was clear rules for when solar projects in development begin to qualify for the credit.

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