Start the New Year Strong:

Maximize Your Solar Asset Acquisition and Tax Savings for 2025

The new year brings fresh opportunities to optimize your solar asset ownership business and make the most of tax savings for 2025. The best results come from starting early and strategically building your solar portfolio throughout the year.

Learn More

Start the New Year Strong:

Maximize Your Solar Asset Acquisition and Tax Savings for 2025

The new year brings fresh opportunities to optimize your solar asset ownership business and make the most of tax savings for 2025. The best results come from starting early and strategically building your solar portfolio throughout the year.

Learn More

Why Start Early?

Purchasing assets in Q1 offers distinct advantages, starting with preferred pricing through March 31. Because there are fewer buyers in the first quarter, projects are priced to attract them. Additionally, the greatest selection of projects eligible for 40% solar tax credits tends to be available early in the year. Simply put, starting early means you get more value for your investment.

Key Factors to Consider

Several market dynamics make an early purchase even more important:
  • Pricing Stability: Act now to avoid potential price increases. Tariffs on solar components from China may be introduced, which could raise project costs later in the year.
  • Rising Costs: As interest rates stabilize or fall, project pricing is expected to rise due to shifts in market conditions, moving from a buyers’ to a sellers’ market.
  • Labor Costs: Changes in immigration policy could lead to higher labor costs, further driving up the price of solar projects.

A Smart Acquisition Strategy: Monthly Purchases

To maximize your solar asset acquisition potential, we recommend purchasing projects in regular intervals to continuously align your solar portfolio with your growing tax liability. This strategic approach can help ensure that you have the optimal number of assets by year-end to offset as much of your tax burden as possible. Again, we highly recommend front-loading asset purchases to Q1 when project economics and availability are the best. Though it’s important to consult your CPA to determine the most appropriate equity contribution and schedule for your unique tax circumstance, a common practice is to establish an equity contribution equal to ~2/3 what you would otherwise withhold or pay in taxes on a monthly or quarterly basis. Of course, you can adjust or pause this schedule at any time.

Your Path to Success in 2025

Your Inception team is dedicated to helping you optimize and grow your solar asset ownership business through these strategies and more. Schedule a meeting today to explore your options and get a 2025 asset purchase plan in place.

Recommend to a Friend

Share Inception with Others

Optimize Your Solar Business

Your Next Vacation could be a Material Participation Opportunity No matter where you travel, it’s likely that you’ll find opportunities to see home and business owners putting solar to work in innovative ways to lower their energy costs and boost resiliency. Consider Napa Valley, where wineries and hotel operators have been on the leading edge of renewable energy adoption optimize their operating costs and mitigate the risks posed by California’s grid reliability. You might choose to stay at the award-winning luxury Bardessono Hotel, one of the only certified LEED Platinum hotels in the U.S. The hotel’s rooftops feature 940 high efficiency solar panels, which provide 197.4 kilowatt (kW) of power — approximately one-half the property’s total electrical energy requirement of the property. The solar panels lie flat on the rooftops, invisible to surrounding properties. Learn more about the project. If you’re a fan of wines from the Plumpjack Group, you might also include visits to CADE Estate or Odette Estates on your wine tour. Set atop Napa Valley’s Howell Mountain, CADE Estate is proud of its distinction as Napa Valley’s first LEED Gold certified winery. The winery has 35,000 square feet of solar panels installed on its roof, producing more energy than it needs for most of the year. Sister winery Odette Estates is also LEED Gold certified. Its 8,500-square-foot living roof is outfitted with 2,500-square-feet of solar panels that generate 30,000 KW of power per year. Read more. With so many opportunities to learn about solar, the time you spend in Napa may contribute toward meeting your material participation requirements, seamlessly blending business and pleasure. Watch Now: Learn more about Material Participation.  

How Nick saved $1.25 million in taxes

Nick and his wife have redirected $6.9 million in tax payments to purchase solar assets since 2020, and saved $1.25 million in taxes. Here’s how.

READ CASE STUDY

Important Updates

Tax Filing Documentation

All documents required for the preparation of your 2024 income tax returns will be uploaded to your client portal no later than March 3, 2025.

Technical Services Fees

In order to maintain the insurance policies and other services for your solar assets, you will need to pay your 2025 Technical Services fees. You will receive your TSA invoice from Plaid no later than March 10, 2025. Please pay promptly to avoid any potential lapses in policies.

2025 Asset Purchases

Looking ahead to growing your solar asset ownership business and savings in 2025, getting started purchasing assets in Q1 offers distinct advantages. We are offering preferred asset pricing through March 31, 2025.

Available Now – Tax documents uploaded to client portal for assets purchased before November 1, 2024

March 1 – Tax documents uploaded to client portal for assets purchased after November 1, 2024

March 10 – You will receive your TSA invoice from Plaid no later than March 10

March 31 – Preferred asset pricing for Q1 ends

Material Participation

Remember, any time spent reading emails, reviewing documents, or checking your portal may be logged as material participation hours. Don't forget to log them in your portal.