Bridgeport, CT

Connecticut’s Property Tax Exemption for solar energy systems provides a significant financial benefit for homeowners who install solar panels. This state tax exemption means that the added value of your solar installation will not increase your property taxes. When you install solar panels on your home, the property value typically increases, but under this exemption, you won’t pay additional property taxes on that increased value.

To qualify for this exemption, you must own a solar energy system installed on your property in Connecticut. There is no specific application deadline, but you should check with your local tax assessor to ensure your system is properly documented for the exemption. This incentive has no expiration date and remains in effect for the life of your solar system, providing long-term savings that complement the energy cost reductions from your solar panels.

Connecticut’s Sales Tax Exemption program eliminates the state’s 6.35% sales tax on purchases related to renewable energy systems. This means homeowners don’t pay sales tax when buying solar panels, wind turbines, geothermal systems, and related equipment for their homes, resulting in immediate savings of hundreds or thousands of dollars depending on system size.

This incentive is available to all Connecticut homeowners purchasing qualifying renewable energy systems. The exemption applies automatically at the time of purchase when working with reputable solar installers who are familiar with the program. There is no expiration date for this incentive, as it’s a permanent part of Connecticut state law. Homeowners should verify that their installer properly documents the tax exemption and doesn’t incorrectly charge sales tax on their renewable energy purchase.

Connecticut’s Residential Renewable Energy Solutions program offers homeowners with solar panels a significant financial benefit through its Net Metering option. This program allows you to receive full retail credit for the excess electricity your solar system generates and sends back to the grid. When your system produces more electricity than you’re using, your utility meter essentially runs backward, providing you with a credit at the same rate you pay for electricity.

For both Eversource and United Illuminating customers, any unused credits roll over from month to month at the full retail value. If you installed your system after January 1, 2022, these credits continue to roll over indefinitely until you close your utility account. This is a meaningful improvement over the previous policy (for systems installed before 2022), which cashed out excess credits annually in March at a lower avoided cost rate. There are no specific dollar amounts to quote as the value depends on your electricity usage and solar production, but receiving the full retail rate for excess generation typically provides the maximum financial benefit possible under net metering programs.