Is the 30% federal tax credit refundable?

No — the ITC is non-refundable. It reduces your federal tax liability dollar-for-dollar, but if the credit is larger than what you owe in taxes, you won't receive the difference as a refund. However, any unused portion rolls forward to the following tax year. Most homeowners with a typical income tax burden can use the full credit within 1–2 years.

Does Nevada have a state solar tax credit?

Nevada doesn't have a state income tax credit for solar. However, the combination of federal ITC (30%), sales tax exemption, and property tax exemption makes Nevada one of the most incentive-rich solar states in the country even without a state income tax credit.

Nevada Solar Tax Credit 2025: What You Need to Know

Nevada homeowners in 2025 have access to a stacked set of incentives that make going solar more affordable than ever. Here's the complete picture — federal, state, and utility.

Federal: 30% Investment Tax Credit (ITC)

The biggest incentive is federal. The Inflation Reduction Act locked in a 30% ITC through 2032. On a $20,000 solar system, that's $6,000 directly off your federal income tax bill — not a deduction, a credit.

Key details:

Applies to systems installed January 1, 2022 through December 31, 2032
Covers panels, inverter, mounting, labor, and battery storage (if charged primarily by solar)
Non-refundable: reduces taxes owed but doesn't generate a refund
Unused credit rolls forward to the following tax year
Only available for purchased systems (cash or loan) — not leases or PPAs

Nevada: Sales Tax Exemption

Nevada exempts solar equipment from state and local sales tax. In Clark County (Las Vegas), the combined sales tax rate is 8.375%. On a $20,000 system, that's $1,675 saved — automatically, with no application required.

Nevada: Property Tax Exemption

NRS 361.079 exempts the added value of solar energy systems from property tax assessment. If your solar system adds $18,000 to your home's appraised value (which it often does), you pay no additional property tax on that value. In Clark County with a ~1% effective property tax rate, that's roughly $180/year in avoided tax — or $4,500 over 25 years.

NV Energy: Net Metering Credits

NV Energy credits excess solar production at ~75% of retail rate. With a properly sized system and average Las Vegas production, most homeowners accumulate $800–$1,200 in annual net metering credits.

How to Claim the Federal ITC

Install your solar system and receive a Certificate of Completion
File IRS Form 5695 (Residential Energy Credits) with your federal tax return
Report the credit on Schedule 3, Line 5 of Form 1040
If the credit exceeds your tax liability, it rolls forward to the next year

Consult your tax advisor for guidance specific to your situation. Most tax preparation software (TurboTax, H&R Block) handles Form 5695 automatically when you report the solar installation.

Total Incentive Stack — Example

On a $22,000 solar system in Las Vegas:

Federal ITC (30%): -$6,600
Sales tax exemption: -$1,843
Property tax savings (25 yrs): -$4,500
Net metering credits (25 yrs, est.): -$22,500
Total incentive value: ~$35,443