The Tax Benefits Of Commercial Solar
The Australian Government allows both business owners and individuals to claim the depreciation of their solar assets as a tax deduction. This can be claimed for the period of the equipment’s effective life – usually 15-20 years, at a rate of 5-10%. The repayments made on an operational lease are tax deductible over the term of the lease. Businesses with an annual turnover under $2 million are eligible to write-off up to $6,500 worth of depreciable solar assets. Large scale commercial solar energy investments valued at $20,000 may be eligible for an accelerated rate of depreciation. It’s best to confirm the potential tax benefits for your business with your tax accountant, as they can review your particular circumstances, like taxable income.