🌵AZ Solar Guide 2026

Arizona Solar Incentives
& Tax Credits 2026

Arizona solar owners: state tax credit plus property and sales tax exemptions. Discover 4 programs that could save you $3,000–$6,500+ on your solar investment.

Potential Savings

$3,000–$6,500+

Programs Available

4

Avg System Size

7.8 kW

Net Metering

Moderate

Available Incentives & Programs

All current solar incentives for Arizona homeowners

Tax Credit

State Solar Tax Credit

25% up to $1,000

Arizona offers a 25% state tax credit on solar system costs, capped at $1,000.

Tax Exemption

Property Tax Exemption

100% exemption

Solar additions are fully excluded from property tax assessments.

Tax Exemption

Sales Tax Exemption

~$1,120 saved

Saves approximately 5.6% on system costs (e.g., $1,120 on a $20,000 system).

Rebate

Utility Rebate Programs

Varies by utility

SRP, APS, and TEP offer various rebate programs for solar customers.

Net Metering in Arizona

Policy Strength:Moderate

Statewide net metering or comparable compensation available. APS transitioned to lower rates for new customers. Existing customers generally grandfathered.

Top Solar Cities in Arizona

Phoenix, AZTucson, AZMesa, AZScottsdale, AZChandler, AZGilbert, AZ

Find Out Exactly What You Qualify For

Get a personalized report identifying every federal, state, and local incentive you're eligible for in Arizona. Includes dollar estimates, application guidance, and matched installer recommendations.

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