At the end of June, the U.S internal revenue service (IRS) clarified the rules surrounding when solar developers are allowed to take the 30 percent Investment Tax Credit (ITC) for solar projects. The 30 percent tax credit is available until the end of 2019, at which time it will step down incrementally for 4 years, finally settling at 10 percent.
Under the new guidance, essentially as long as developers “start construction” on a solar project before December 31, 2019 and finish it by the end of 2023, the project will be eligible to take the full 30 percent investment tax credit. The rule clarifies what qualifies as “start construction.”
