Bill > SF2937

This bill provides a temporary income tax credit for the purchase and installation of solar energy systems in Minnesota. The credit is available to taxpayers who receive electric service from a municipal utility or cooperative electric association and install a solar energy system, such as a photovoltaic device, solar water heater, or solar thermal system, on their homestead or business property. The credit is equal to a percentage of the system's purchase and installation costs, with the percentage declining over time from 15% for systems installed in 2023 to 11% for systems installed in 2025. The maximum allowable credit is $2,500 for a homestead system and $15,000 for a business property system. The credit is refundable, meaning any excess credit over the taxpayer's liability will be refunded. The credit expires on January 1, 2027.