So all yee be warned. As I understand it, H&R Block tells us that because we bought our solar panels in late 07, and installed the system in early 08 we cannot claim a tax rebate on the remainder of the system components such as Inverter, Wiring, 6" Schedule 40 Pipe for mounting and racks. None of this can be claimed? I thought that we could claim the parts we bought in 2007 separate from what we bought in 2008, not just once for an overall system. I did the install myself so we can't get a state rebate, that requires professional install. Now they are asking us to break out what we generated from wind and what we generated from solar because they think that makes a difference, which Iv'e never heard of before. And apparently even generation totals don't matter, only what we sell the utility, and then that is counted as INCOME THAT WE MUST PAY TAXES ON!!!! Either H&R block is hiring retards or it really would be better to just pay the electric bill and never get solar because you CANNOT benifit from it in maine or the USA as a whole unless your state is willing to pay for the majority of your system and allow you to install it yourself. Also I paid for 1/3 of the system and because we installed it at my parents home, which I don't own, I can't claim anything at all. On top of that my parents can't claim it either because my name is on the reciept!!!! Also I thought there were supposed to be some nice retroactive perks for solar and wind owners in the $700 billion stimulus package passed late last year, but if there are, H&R block doesn't know it and apparently isn't willing to research it!!!! I ended up just filing standard income taxes on Turbo Tax (Who also sucks) and considered it a $6000 loss. I only make $35,000 a year. I feel that I have been given the shaft. Anyone else have thier solar cause them huge tax headaches?

I would suggest you use turbotax and do the taxes yourself ... H&R obviously doesn't understand the RE stuff

For 2008, its limited to 30% of the installed cost for GridTie PV with a maximum credit of 2K. You don't have to break down anything and all supplies as part of the system cost and all you have to be is grid connect, nothing else

For 2009, its the same except the 2000.00 cap is removed, that was part of last fails bail out legislation

Oh, normal disclaimer, I'm not a tax preparer and my advise can not be used as a replacement for a tax attorney ect ect

Thanks for the advice SG. I think we have some of it figured out. My parents should be able to claim the components I purchased later for the install and the fact that my name is on the reciept apparently should not matter. I can't claim anything personally, but they can because they own the home. We file taxes seperately of course so we were hoping we could split the cost to overcome the $2000 rebate limit but since they changed that to a 30% cap, maybe we can claim more retroactively next year (2009 Taxes) instead of this year (2008 Taxes). If not, oh well I guess.
On another note, I work in the power delivery engineering & design industry and it is good to finally see SO MANY renewable energy power plants in the works. I know of at least 8 wind farms in maine that are either under construction or in planning phases right now and that doesn't include the ones that have already been built. I just wish that they would build some solar power plants too.

Only difference is Solar PV almost makes sense and is 1/10 the cost of wind turbines (per kWhr)... So, apparently, they don't get the government "love" of huge tax breaks that wind receives.

-Bill

Solar panels are a much simpler technology. People just dont realize how much more dependable the sun is than the wind. I can tell you for certain, unless it goes red-giant and we all die, the sun WILL come up tomorrow, I can't make the same daily gaurantee about the Wind. Possibly the reason is because it takes more specialized industrial maintenance that requires unions and heavy equipment to build and operate a wind farm, where as a solar PV plant could be cared for by a troop of trained monkeys with wash rags and a water hose.

I just did my taxes with h&r block taxcut online, it gave me the 30% credit but it was limited to 2000 dollars.SG are you saying on the 2009 taxes next january the cap is removed.also the program told me i could carry over the remainder to 2009 taxes

Yes, there is no cap for 2009, for systems placed in service in 2009 ... I have never heard about carry forward on a solar tax credit, but I'm not a tax preparer

Thats too bad. Even though there aren't as many rebates as I would like, I still enjoy solar panels.