Bill > A01373

This bill amends the New York State tax law to increase residential solar tax credits. Specifically, the bill increases the maximum tax credit for solar energy system equipment from $5,000 to $10,000 for systems placed in service on or after January 1, 2026. The credit remains at 26% of qualified solar energy system expenditures and applies to residential properties located in New York State that are used as the taxpayer's principal residence. The bill expands the definition of solar energy system equipment to explicitly include energy storage equipment and makes an important change for low to moderate income residents and those in disadvantaged communities: starting in 2026, if the tax credit exceeds their tax liability, the excess can be refunded. The bill also updates language to use gender-neutral terminology (changing "his or her" to "their") and provides provisions for how credits are handled in shared living situations like condominiums and cooperative housing. Notably, the credit can be carried forward for up to five years if it exceeds the taxpayer's tax liability in a given year, and grants received for solar equipment installation will not be counted in calculating the credit amount.

Budget and Finance

https://www.nysenate.gov/legislation/bills/2025/A1373