Most commercial solar projects are eligible for a 30% Federal Tax Credit. Additionally, for unused tax credits, each one can be carried back one year and forward 20 years. This assures that all credits can be fully utilized! Read more about the federal tax incentives.
REC, Renewable Energy Credits, can earn business owners income based on the production of their solar systems, or as an up front lump sum. These qualified credits are made available by some Colorado utility providers.
To help recoup the cost of commercial solar, each business can depreciate the system over a 5 year period with the Modified Accelerated Cost Recovery System (MACRS). The depreciation schedule follows the 5 year property half year convention:
Some Colorado counties offer Colorado PACE Financing, the Commercial Property Assessed Clean Energy, which allows building owners to finance qualifying energy efficiency and clean energy improvements through placing a voluntary assessment on their property tax bill.