Question

Solar tax credit and TurboTax error - 2008

Forum|Forum|1 year ago
August 7, 2024
1 reply
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It came to my attention that the $2000 cap on the federal tax credit for installation of solar panels was lifted by the Emergency Economic Stabilization Act of 2008 (passed in October 2008). In reviewing my tax return for that year, the maximum amount of the credit inserted by TurboTax (line 3 of Form 5695) was $2000. As such, I believe that this form was incorrect and I was shortchanged on my credit. Any suggestions on how I could confirm this and whether I have any recourse?

Not A Product Question

DoninGA

Employee

The maximum credit for tax year 2008 was $2,000 for the solar energy credit.

IRS Form 5695 Line 3 (2008) - https://www.irs.gov/pub/irs-prior/f5695--2008.pdf

You are referring to legislation that affected the tax year 2009 solar tax credits, not tax year 2008.

A

abdemaioAuthor

Thank you for clarifying. It would appear my timing for going green was terrible! I managed to find the two year window where the credit was capped.

A follow-up question, if I may: The system we installed in 2008 is now failing, is out of warranty, and the manufacturer just announced they are filing for bankruptcy. If I choose to replace the current equipment with new equipment, can I claim the 30% tax credit?