Center welcomes decision on solar tax credit payments


Teresa Hoffman, senior communications associate,, 402.687.2100, ext. 1012

NEVADA, IOWA– The Center for Rural Affairs commends Iowa lawmakers for making good on a promise to offer tax credits to residents investing in solar energy systems. 

In approving its tax bill—Senate File 2367— Monday evening, the Iowa Legislature agreed to pay the Solar Energy Systems Tax Credit to applicants currently on the waiting list for residential projects installed in 2021. The measure also extends the application deadline for projects completed last year to June 30. 
The bill passed both chambers unanimously (Senate 44-0, House 80-0), and now awaits Gov. Kim Reynolds’ signature. 

State officials had previously announced the credit would not be paid to those on the waiting list when the program expired at the end of 2021. 

“We are pleased to see lawmakers make good on their promise and end 12 long months of uncertainty for every day Iowans,” said Johnathan Hladik, policy director for the Center. “Solar energy allows homeowners to save on their energy bills in the long run, which puts money into the pockets of Iowa families that can be invested back into their communities.” 

The tax credit, on average, covered about 13% of the cost of the systems. 

“This win is a credit to the advocacy of rural Iowans, who made sure that this issue remained a priority for legislators throughout the legislative session,” Hladik said.