The answer depends on whether the renter personally installs the battery storage system in a property they reside in (at least part-time) and meets other eligibility criteria:
For battery storage tax credit (under 25D):
- Eligible if the renter lives in the home (even part-time) and pays for/installs a qualifying system (≥3 kWh capacity, new equipment).
- Not eligible if the battery is installed in a rental property the renter does not occupy.
- Includes labor/installation costs for systems installed 2022-2032 (30% credit).
For solar panels:
The search results do not explicitly address renter eligibility for solar tax credits. However, the Residential Clean Energy Credit (covering solar) generally requires ownership of the system (unavailable to renters unless they own panels on a residence they occupy, which is uncommon). Most solar incentives target homeowners.
Key distinction:
Battery storage credits may apply to renters only if they directly incur costs for a system in a home they reside in, while solar credits typically require ownership. Renters cannot claim credits for systems installed by landlords in properties they rent but don’t occupy.
Clarification on Rewiring America’s note:
While Rewiring America states “renters are eligible,” this applies only if they personally install a battery in their residence. Landlords cannot claim credits for rentals unless they use the property as their own residence.
Final answer:
Yes, renters can claim the battery storage tax credit if they install a qualifying system in a home they occupy, but generally cannot claim solar panel credits since those require system ownership.
Original article by NenPower, If reposted, please credit the source: https://nenpower.com/blog/can-renters-claim-the-tax-credit-for-battery-storage-but-not-for-solar-panels/
