Florida Solar Incentives in 2026: What's Still Available After the Federal Tax Credit Ended

By iContracting Solar Team · 2026-09-29

The short answer

The federal 30 percent Residential Clean Energy Credit under Internal Revenue Code Section 25D ended for residential systems installed after December 31, 2025. It is not a current credit for a homeowner placing a new system in service in 2026.

Florida still exempts qualifying residential solar equipment from state sales tax and exempts the added value of residential renewable energy devices from property tax assessment. Net metering also remains an important source of ongoing value where applicable. Florida does not have a statewide solar rebate or state solar tax credit.

The residential federal credit ended

The 30 percent Residential Clean Energy Credit was repealed by the One Big Beautiful Bill Act in July 2025 for systems installed after December 31, 2025. A residential system placed in service in 2026 or later cannot be presented as eligible for that ended credit.

The important date is when the residential system was placed in service, not merely when a homeowner first requested a quote. Systems placed in service in 2025 or earlier could claim the credit on a 2025 return, with unused credit carried forward. Anyone evaluating that prior-year situation should use current official tax guidance and consult a tax professional.

This article provides general information, not tax advice. Individual facts and filing positions differ.

Beware of a current “30 percent credit” pitch

Homeowners should be cautious if an installer still advertises the residential 30 percent federal credit as available for a system being installed in 2026. That claim is outdated for a homeowner-owned residential system under Section 25D.

Ask for the proposal without the expired credit. If a salesperson subtracts 30 percent from the displayed cost, ask what legal provision and placed-in-service date support it. Do not accept a verbal assurance that the credit is automatic.

A clear proposal should separate equipment cost, financing terms, utility assumptions and any incentive claim. Removing an expired incentive may materially change a comparison, so the correction should be made before a contract is signed.

What about a system completed in 2025?

A system placed in service in 2025 or earlier could qualify for the prior Residential Clean Energy Credit on the 2025 federal return. Unused credit could be carried forward. That does not reopen the credit for a new 2026 installation.

The distinction is narrow but important. A reader with a prior-year project should not use a general blog article to decide eligibility or prepare a return. Documentation, timing and individual tax circumstances matter. Consult a tax professional and use official IRS guidance for the applicable return year.

Florida's sales tax exemption

Florida exempts residential solar energy equipment from state sales tax under Florida Statute 212.08(7)(hh). This exemption reduces the tax that would otherwise apply to qualifying equipment.

It is an exemption, not a cash rebate and not an income tax credit. Homeowners should avoid adding the sales-tax exemption to a proposal as though it were a separate check arriving after installation. The practical treatment should be reflected accurately in the transaction.

If there is uncertainty about whether particular equipment or a transaction qualifies, ask the provider and an appropriate tax professional rather than assuming every line item receives identical treatment.

Florida's property tax assessment exemption

Florida Statute 193.624 exempts the added value of residential renewable energy devices from property tax assessment. In plain language, the added residential value attributable to the qualifying renewable energy device is excluded from the assessment as provided by the statute.

This is not a statement that every aspect of a property tax bill stays unchanged forever. Property assessments can change for other reasons. It is also not a payment to the homeowner. It is a protection against assessing the added qualifying renewable-energy value.

Keep project records and ask the appropriate local or tax professional if the treatment of a particular property is unclear.

What Florida does not offer statewide

Florida has no statewide solar rebate and no state solar tax credit. That straightforward statement can help homeowners identify misleading advertising. A state sales-tax exemption and a property-tax assessment exemption should not be relabeled as a statewide rebate.

A local utility may offer a program, pilot, rate or community solar option. Those utility-specific offerings are not the same as a statewide Florida incentive, and eligibility can be limited. Check with the utility named on the bill for current programs.

Net metering remains an ongoing value

For customers of Florida investor-owned utilities — FPL, Duke Energy Florida and TECO — net metering is governed by PSC Rule 25-6.065. Exported solar is credited at the retail energy rate, credits carry month to month within the calendar year, and unused year-end credits are paid at avoided cost. Fixed customer charges remain.

Net metering is a billing arrangement, not a tax incentive or rebate. Its value depends on production, electricity use and the applicable utility rules. A right-sized system can make more production useful to the property and limit surplus left for year-end treatment.

Read how net metering works in Florida before accepting any statewide claim. Municipal utilities and cooperatives can differ.

Utility programs vary

Duke Energy Florida's closed Hunter's Creek battery pilot is one example of a limited utility study, not a generally available incentive. Our Duke Energy solar guide explains the pilot and Duke's 2026 bill reductions without suggesting that readers can enroll.

TECO offers Sun Select, a shared or community solar subscription owned by the utility and available to renters and owners. It is an alternative to rooftop solar, not a Florida rebate. See the TECO solar guide and ask TECO for current terms.

OUC operates SunChoice community solar and its TruNet Solar rooftop program. New OUC systems follow the export-credit timeline in our OUC solar guide. These programs should be evaluated using current utility information rather than an old statewide incentive list.

Leases and power purchase agreements

Federal rules for third-party-owned systems, including leases and power purchase agreements, differ from the former homeowner credit and are changing. Do not assume that a provider's tax treatment becomes a 30 percent homeowner benefit.

Ask the provider to explain in writing who owns the system, who may claim any tax treatment, and how any claimed benefit affects the customer's payment. Then consult a tax professional about the specific arrangement. This article makes no claim that a lease or power purchase agreement qualifies for a particular federal incentive.

Ownership, maintenance responsibilities, transfer provisions and payment terms also belong in the contract review. Those are separate from whether the former Section 25D homeowner credit applies.

Financing is not an incentive

A loan can spread payments over time, but it is not a tax credit or rebate. Financing terms, rates, fees and availability vary by customer, project, lender and provider. A low displayed payment can depend on assumptions that deserve careful review.

Compare the cash price, financed amount, fees, payment schedule and any required changes over time. If a proposal assumes a tax-credit payment that a 2026 homeowner cannot receive, ask for terms that do not rely on it.

The same caution applies when roof work is combined with solar. Our guide on solar and roofing in Florida explains how to plan the construction sequence without making an incentive claim.

A practical 2026 checklist

First, remove the expired residential federal credit from any 2026 projection. Second, verify that the Florida sales-tax exemption and property-tax assessment exemption are described as exemptions, not cash rebates. Third, identify the utility and check current net metering or community solar terms.

Fourth, ask for all third-party ownership claims in writing and consult a tax professional. Fifth, compare financing independently from incentives. Finally, keep records supporting the system's timing, equipment and ownership.

Use the Central Florida Solar Guide to review solar, batteries, roofing and utility rules together. A careful 2026 decision can still recognize the value that remains without pretending an ended federal credit is available.