Utah Renewable Energy Systems Tax Credit

Renewable Residential Energy Systems Credit (code 21)

Utah Code §59-10-1014

This credit is for reasonable costs, including installation, of a residential energy system that supplies energy to a Utah residential unit. Additional residential energy systems or parts may be claimed in following years as long as the total amount claimed does not exceed certain limits. Contact the Governor’s Office of Energy Development for more information. If the residence is sold to a non-business entity before claiming the credit, you may irrevocably transfer the right to the credit to the new owner. The principal portion of the system’s lease payments may qualify for the credit if the lessor irrevocably transfers the credit rights to the new owner.

Get form TC-40E, Renewable Residential and Commercial Energy Systems Tax Credits, from the Governor’s Office of Energy Development with their certification stamp, verifying the credit is approved and showing the amount of the approved credit. Do not send form TC-40E with your return. Keep the form and all related documents with your records to provide the Tax Commission upon request.

Note: You may carry forward for the next four years any credit that is more than your tax liability.

For more information contact:

Governor’s Office of Energy Development (OED)
PO Box 144845
Salt Lake City, UT 84114
801-538-8732 or 801-538-8702
energy.utah.gov/tax-credits/renewable-energy-systems-tax-credit

For installations completed in 2021, the maximum tax credit will be $1,200. In 2022, the maximum tax credit will be $800. In 2023, the maximum tax credit will be $400. For installations after December 31, 2023, there will not be a tax credit available for solar PV.