Arizona Department of Revenue

Arizona residential solar income tax credit (Form 310)

25% of the cost of a purchased solar energy device, up to a lifetime maximum of $1,000 per residence; nonrefundable with a 5-year carryforward. Leased and PPA systems do not qualify.

The federal residential solar credit ended for systems placed in service after December 31, 2025. Arizona’s own credit survived: 25% of a purchased system’s cost, up to $1,000, plus a five-year carryforward if you can’t use it all at once. It isn’t a fortune, but stacked with Arizona’s tax exemptions and honest utility-rate math it keeps well-designed solar worthwhile - and we show you that math before you commit, not after.

Who qualifies

  • Arizona income-tax filers who purchase (not lease) a qualifying solar energy device for an Arizona residence
  • Claimed on AZ Form 310; lifetime cap applies per residence

What we handle for you

When solar is part of your project we structure the purchase so it qualifies, hand your tax preparer a clean Form 310 package with the device cost documented, and pair the credit with Arizona's sales- and property-tax exemptions so the honest post-2025 payback math is in your proposal - no federal-credit wishful thinking.

Pairs naturally with

Custom rebuildsWhole-home renovation

Source: Arizona Department of Revenue · last verified 2026-07-06 · program terms and funding are subject to change; we re-verify before anything enters your proposal.