Puerto Rico - Tax Deduction for Solar Energy Systems

Last updated: August 28, 2018

Program Overview

Implementing Sector:State
Category:Financial Incentive
State:Puerto Rico
Incentive Type:Personal Tax Deduction
Administrator:Puerto Rico Energy Affairs Administration
Eligible Renewable/Other Technologies:Solar Water Heat, Solar Pool Heating

Authorities

Name:13 L.P.R. § 8423
Name:C2610 (2010) Act No. 83
Date Enacted:07/19/2010
Effective Date:07/19/2010

Summary

Puerto Rico offers a 30% tax deduction (up to $1,500) for expenses incurred in the purchase and installation of solar equipment to heat water for residential use. "Solar equipment" is defined as "any equipment capable of using solar energy directly or indirectly to heat water, whether such equipment is bought or manufactured by the taxpayer, provided that the same is operating." The deduction applies to those who lease or own the residential property.

An individual who claims the solar equipment deduction must enclose with his or her tax return a certificate stating that the solar equipment has been approved by the Puerto Rico Energy Affairs Administration within the Department of Economic Development and Commerce and a certificate stating that the solar equipment purchased has a warranty of five or more years.

 

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