What’s Happening With Solar Incentives

A Rare Financial Opportunity Created by Federal Policy

Commercial solar is normally a smart long-term investment. But thanks to current legislation, it’s also one of the best short-term investments businesses can make.

Here’s why:

**40% Federal INVESTMENT TAX CREDIT**

Direct reduction of the 30% Investment Tax Credit and the extra 10% if located in an “energy community”
Find out more

**100% Bonus Depreciation**

Expense your entire project in the first year, typically worth somewhere in the region of 30-35% of the overall project cost
Find out more

**State Depreciation**

Adds another layer of savings, phased over 6 years

Combined, these can offset up to 80% of your project, with most of it realized immediately.

VISUALS: Illustration / Infographic Timeline:

Q3 2025 → “Plan + Design”
Q4 2025 → “Permitting + Procurement”
Q2 2026 → “Deadlines + Rush”
Concept image: Factory or container ships for supply chain, overlaid with “delayed” stamp graphics.
Layout: Use timeline graphic spanning across the section with copy anchored above/below.

A Rare Policy Overlap That Created a “Golden Window”

This unique moment did not happen by accident. It is the result of two federal policies coming together:

100% Bonus Depreciation was reinstated under the Trump administration as quickly as possible, allowing businesses to expense their solar investment in Year One.
The Investment Tax Credit (ITC) remained in place at 40% because the administration could not eliminate it immediately. The stepdowns begin in 2026.

Together, these overlapping incentives created what we call the Golden Window. For a limited time businesses can recover 75% of project costs in Year One and up to 80% overall.

Visual Concepts:

Option 1: A Venn diagram with two circles:

Left circle: 100% Bonus Depreciation (Trump-era reinstatement)
Right circle: 40% ITC (Accelerated Sunset)
Overlap: “Golden Window = 75% Back Year One / 80% Overall”

Option 2: A timeline bar chart showing how depreciation and ITC overlap between now and 2026, with the “Golden Window” highlighted in yellow.

Why October 31, 2025 Is the Real Deadline

The Legislation Ends Later — But Businesses Can’t Wait

The tax credits don’t go away until July 2026, but we recommend acting by October 31, 2025. Why?

🚧 Supply Chain Bottlenecks – Equipment delays can stall projects for months.
💵 Panel Price Increases - New FEOC Rules go into effect January 1, 2026, which drastically limit where you can source solar panels/equipment.
📝 Permitting & Interconnection – Securing approvals takes time, especially in California.
📈 Surging Demand – As deadlines approach, demand spikes. Installers can only take so many projects.
⏳ “Beat the Rush” Effect – Waiting could mean missing the cutoff entirely — even if you intended to act.

👉 That’s why Oct 31st is the real deadline for locking in maximum savings.

Visuals:

Illustration / Infographic Timeline:

Q3 2025 → “Plan + Design”
Q4 2025 → “Permitting + Procurement”
Q2 2026 → “Deadlines + Rush”

Concept image: Factory or container ships for supply chain, overlaid with “delayed” stamp graphics.

Layout: Use timeline graphic spanning across the section with copy anchored above/below. Tax Credit Timeline PPT

See the Numbers in Action

COMMERCIAL SOLAR

Here’s an example based on a $621,000 commercial solar project:

$249,000 from the 40% ITC
$184,000 from Federal Bonus Depreciation (Year One)
$12,000 from State Depreciation (Year One)
$49,000 from State Depreciation (spread over 6 years)

Total Incentives: $493,698 (≈79.4% of total project cost)

👉 For most businesses, this means 75% money back in Year One and nearly 80% over the life of the incentives, BEFORE your monthly solar savings even begin!

Visuals:

Bar chart / stacked graphic showing cost vs. incentives:

Yellow bar = Tax Credit
Blue bar = Bonus Depreciation
Light blue bar = State incentive

Overlay callout: “= 79.4% Total Savings”
Layout: Chart on left, explanation text on right.

What This Means for ROI

Unprecedented Payback Timeline

Normally, solar projects take 5–7 years to pay back. With today’s incentives:

✅ 75% money back in Year One
✅ Typical 2-year ROI
✅ Ongoing 20+ years of utility savings after payback

This is why industry insiders call it a once-in-a-lifetime financial opportunity.

Visuals:

Graph-style ROI timeline: Y-axis = savings, X-axis = years. Show breakeven at ~2 years.
Background image: Professional shot of a CFO/decision-maker reviewing solar ROI charts.
Layout: ROI graph large, short copy in sidebar or above.

About the Incentives - Want to see the source?

Don’t just take our word for it — here are official resources:

IRS Bonus Depreciation FAQ
U.S. Department of Energy: Investment Tax Credit
DSIRE Incentives Database – A state-by-state look at policies and credits

Visuals:

Logos/icons of credibility: IRS, DOE, DSIRE (with linked buttons).
Design treatment: “Resources Box” styled like a clean card module with icons and buttons.

Why Businesses Choose Sunistics

Trusted Commercial Solar Experts in California

With decades of combined experience, the Sunistics team knows how to move fast and secure projects ahead of bottlenecks. Businesses partner with us for:

👍 Proven expertise in commercial solar installations

👍 Transparent ROI analysis before you invest

👍 End-to-end project management (design, permitting, installation)

👍 Long-term support and maintenance

Visuals:

Team/crew photo of installers on a roof OR professional team meeting in hard hats.
Icon row of benefits: Expertise, ROI analysis, permitting handled, long-term support.
Layout: Large background image with overlay copy OR grid of icons.