Power your business with solar before federal credits expire.

In July 2025, the One Big Beautiful Bill (OBBB) changed the rules for solar tax incentives. It made solar more valuable—but with much tighter deadlines. Here’s what that means:

✅ 30% Investment Tax Credit (ITC)

A direct federal tax credit worth 30% of your total solar project cost.

✅ 100% Bonus Depreciation in year 1

Before OBBB, commercial solar systems had to recover costs over 5 years using MACRS depreciation.
Now, thanks to OBBB, you can deduct 100% of the system’s cost in Year 1—a major near-term tax shield that boosts ROI.

✅ Credit transferability

If your business doesn’t owe taxes, you can sell or transfer the credits to monetize them—an option expanded under OBBB.

To qualify for any of these incentives, your project must either:

• Begin construction by July 4, 2026, or

• Be fully online by December 31, 2027

After that, new commercial solar projects won’t qualify unless they’re already underway.

🔐 What’s “safe harbor”?

The IRS lets you lock in tax credit eligibility if you do one of the following by July 4, 2026:

• Start significant on-site work, or

• Spend at least 5% of total project cost (e.g., purchasing equipment)

This is your path to “grandfather in” your project and preserve your full 30% ITC and bonus depreciation—even if construction finishes after 2027.

If your project isn’t moving by mid-2026, you could lose access to hundreds of thousands in federal tax benefits.

📍 Peter can help you build a compliant, high-ROI plan now—before the window closes.