By DCG in Lago Vista, TX on 10/31/2008
We're doing an 80-gallon solar water heater system in our home in Lago Vista. Of course, we're seeking the 30% tax credit on the hardware and installation. The issue that I see is the verbiage of the tax credit:
Per the tax form: irs.gov/pub/irs-pdf/f5695.pdf - I need to have the property certified:
"Solar water heating property must be certified by SRCC or by comparable entity endorsed by the state in which the system is installed. At least half the energy used to heat the dwelling's water must be from solar.
Geothermal heat pumps must meet the requirements of the Energy Star program."
The general take on it - and this is what my CPA said also - is that the water heater itself needs to be certified, not the property... Here's an example from a non-government website: energytaxincentives.org/consumers/solar:
"System must be certified for performance by the Solar Rating Certification Corporation (SRCC) or a comparable entity endorsed by the state government in which the system is located. SRCC is an organization set up by the solar industry to test and certify equipment so purchasers have an independent assessment of system performance - solar-rating.org"
So the questions are:
1) Does the house have to be certified? If so, by the SRCC? IF not the SRCC - then who does "state-approved" certifications in Texas?
2) Does the system need to be certified? Note this isn't how I read the tax form...