Federal Tax Credit
The federal solar income tax credit is 30% of the total system cost. There is no cap and it can be carried forward 20 years and back one year, if needed.
State Property Tax Increase Exemption
Arizona state law dictates that your property taxes will not increase as a result of installing a photovoltaic system.
Depreciation
Solar installations can be depreciated using either a five years MACRS schedule or 100% bonus depreciation for systems installed after Sept 27th, 2011. The tax basis for depreciation is equal to the total system cost, minus 50% of the federal tax credit, and is valued at approximately 15% of the system cost.
REAP Grant
The USDA's Rural Energy America Program provides grants and loan guarantees to 'rural' small businesses outside of a census metro area (including Green Valley and Sahuarita) and agricultural producers (including plant nurseries) to deploy renewable energy systems and energy efficient measures. The grant is for up to 25% of the total project cost.
To see if your business qualifies as 'rural' input your address here: Property Eligibility Search