Clean Energy Tax Credit (Personal) (Georgia)

Summary

Last modified on February 12, 2015.

Financial Incentive Program

Place	Georgia
Name	Clean Energy Tax Credit (Personal)
Incentive Type	Personal Tax Credit
Applicable Sector	Residential
Eligible Technologies	Solar Water Heat, Solar Space Heat, Photovoltaics, Wind, Geothermal Heat Pumps
Active Incentive	No
Implementing Sector	State/Territory
Energy Category	Renewable Energy Incentive Programs
Amount	35%
Carryover Provisions	For credits allowed through the end of 2011, excess credit may be carried forward for five years from the close of the taxable year in which the clean energy property was installed. Credits allowed for 2012, 2013 or 2014 must be taken in four equal installments over four successive taxable years beginning with the taxable year in which the credit is allowed.
Equipment Requirements	Solar thermal collectors must meet SRCC certification OG-100 or FSEC-GO-80. Solar thermal residential systems must meet SRCC OG-300 certification or FSEC-GP-5-80.
Start Date	2008-07-01
Expiration Date	2014-12-31
Maximum Incentive	Solar water heat: 2,500 PV, active space heating, wind energy: 10,500 Energy Star-certified geothermal heat pump: 2,000
Program Budget	$2.5 million annually through 12/31/2011; $5 million annually in 2012, 2013 and 2014
Program Administrator	Georgia Department of Revenue
Website	http://gefa.georgia.gov/clean-energy-property-tax-credit
References	DSIREDatabase of State Incentives for Renewables and Efficiency

Summary

NOTE: Due to a high level of interest, the Clean Energy Tax Credit annual funding of $5 million for years 2012, 2013 and 2014 has been fully allocated to compensate applicants wait listed from previous years. The Georgia Environmental Finance Authority is continuing to accept and process applications. If denied by the Georgia Department of Revenue, these applications will be added to a waiting list, prioritized by postmark, for possible credit allocation in a future year.

In May 2008, Georgia enacted legislation establishing personal and corporate tax credits for clean energy equipment installed and placed into service. For clean energy property installed for single-family residential purposes, the tax credit is equal to 35% of the cost of the system (including installation). The credit is subject to various ceilings depending on the type of system.

The following credit limits for various technologies and sectors apply:

• A maximum of $2,500 per residence for domestic solar water heating
• A maximum of $10,500 per residence for photovoltaics (PV), active space heating and wind energy systems
• A maximum of $2,000 per installation for Energy Star-certified geothermal heat pumps.

Leased systems are eligible for the credit. (In the case of a leased system, the cost is considered to be eight times the net annual rental rate, which is the annual rental rate paid by the taxpayer less any annual rental rate received by the taxpayer from sub-rentals.)

Before claiming the credit, the taxpayer must submit an application to the Georgia Department of Revenue for tentative approval, as the aggregate amount of tax credits -- both personal and corporate credits -- taken may not exceed $2,500,000 in any calendar year through December 31, 2011. The aggregate annual limit in 2012, 2013 and 2014 is $5 million. Tax credits are granted on a first-come, first-served basis and may not exceed the taxpayer's liability for that taxable year. Taxpayers who do not receive a full credit for an eligible system will be placed on a "priority list" for access to this credit in future years.

The credit must be taken for the taxable year in which the property is installed. For credits allowed through the end of 2011, any excess credit may be carried forward for five years from the close of the taxable year in which the clean energy property was installed. Credits allowed for 2012, 2013 or 2014 must be taken in four equal installments over four successive taxable years beginning with the taxable year in which the credit is allowed.

Solar hot water systems must be certified for performance by the Solar Rating Certification Corporation (SRCC), the Florida Solar Energy Center (FSEC) or a comparable entity approved by the tax authority. The equipment must meet the certification standards of SRCC OG-100 or FSEC-GO-80 for solar thermal collectors and/or SRCC OG-300 or FSEC-GP-5-80 for solar thermal residential systems.

This tax credit took effect July 1, 2008, and is scheduled to expire December 31, 2014.

Incentive Contact

Contact Name	Taxpayer Services Division
Department	Georgia Department of Revenue
Address	1800 Century Center Blvd, NE
Place	Atlanta, Georgia
Zip/Postal Code	30345-3205
Phone	(877) 423-6711
Email	taxpayer.services@dor.ga.gov
Website	https://etax.dor.ga.gov

Authorities (Please contact the if there are any file problems.)

Authority 1	O.C.G. § 48-7-29.14
Date Effective	2008-07-01
Date Enacted	5/14/2008 (subsequently amended)
Expiration Date	2014-12-31

Authority 2:	H.B. 346
Date Effective	2011-01-01
Date Enacted	2011-05-11
Expiration Date	2014-12-31

Authority 3:	Georgia Department of Revenue HB 670 Chart

• Incentive and policy data are reviewed and approved by the N.C. Solar Center's DSIRE project staff.