Solar Mini-Split Incentives by State: What Still Exists in 2026
Let's start with the part most companies would rather bury: the big federal tax credits are gone. The 25C credit (heat pumps and AC) and the 25D credit (residential solar and batteries) both ended for equipment placed in service after December 31, 2025. If a website tells you there's a 30% federal tax credit waiting for you, it's out of date.
What's left is a patchwork of state and utility programs — rebates, state tax credits, sales-tax and property-tax exemptions, and net metering. Some are genuinely useful. Many exclude DIY installs. We went through them state by state and kept only the programs where self-installed equipment can qualify (or where we found no contractor requirement). That's what's below.
About the badges: “Self-install OK” means the program terms allow self-installed equipment or don't involve an installer at all (like a tax exemption). “Likely DIY” means we found no licensed-contractor requirement in the program terms, but it isn't spelled out — confirm before you count on it. A ✓ means we checked the program against a primary source as of June 2026.
Alabama
3 programs
Heat pump / AC rebate · Alabama Power
High Efficiency Heat Pump Rebate Likely DIY ✓
Amount:$1,000 one-time rebate (limited time)
All-electric air-source heat pump rated 20 SEER / 18 SEER2 or higher, installed as a gas-to-electric conversion (heat pump must be the dominant/largest HVAC un…
Hybrid (Heat Pump) Water Heater Rebate Likely DIY ✓
Amount:$600 (effective Jan 1, 2026)
Hybrid / heat pump water heater using air-transfer technology, converting from an existing gas water heater (must be primary water-heating source). Not a space…
Property-tax exemption · Individual Alaska municipalities (enabled by state statute …
Local Option - Property Tax Exemption for Residential Renewable Energy Systems (AS 29.45.050) Self-install OK ✓
Amount:Exemption amount and terms set by each adopting municipality; many municipalities have not adopted it, so value is $0 w…
Residential renewable energy systems including solar energy devices, wind, and water/hydro systems (heat pumps generally not covered unless a municipality defi…
State tax credit · Arizona Department of Revenue (ADOR)
Arizona Residential Solar Energy Credit (Form 310) Self-install OK ✓
Amount:25% of total device + installation cost, capped at $1,000 lifetime per residence (nonrefundable, 5-year carryforward)
Residential solar PV (and solar energy devices generally; storage integral to a solar device can be included). Does NOT cover standalone heat pumps/AC.
Heat pump / AC rebate · Entergy Arkansas (program operated by CLEAResult)
Entergy Arkansas Residential Point of Purchase Solutions (POPS) — Entergy Solutions Self-install OK ✓
Amount:Heat pump water heater: up to $500/unit; Room (window) air conditioner: $50/unit (instant discount at retail, no applic…
Point-of-sale instant discounts on ENERGY STAR room (window) air conditioners ($50/unit) and hybrid heat pump water heaters (up to $500/unit), plus smart therm…
Property-tax exemption · California State Board of Equalization (BOE) / county asses…
Active Solar Energy System New Construction Exclusion (property-tax exclusion) Self-install OK ✓
Amount:No set dollar amount; excludes 100% of the added assessed value of a qualifying solar system from property tax (i.e., i…
Rooftop solar PV and storage devices, power-conditioning, transfer equipment, and parts that are part of a solar-electric system. Solar pool/hot-tub heaters ex…
Net metering · California Public Utilities Commission (CPUC); IOUs PG&E, S…
Net Energy Metering / Net Billing Tariff (NEM 3.0) — statutory interconnection right Likely DIY ✓
Amount:Bill credits for exported electricity (no upfront cash). Under NBT/NEM 3.0, export credits are avoided-cost based, roug…
Rooftop solar PV (and paired storage) interconnected to the grid under the Net Billing Tariff. Heat pumps/AC are loads, not generation, so not covered.
Sales-tax exemption · Colorado Dept. of Revenue (state) plus local jurisdictions
Colorado Sales & Use Tax Exemption for Renewable Energy / Solar Components Self-install OK ✓
Amount:Exemption from the 2.9% state sales/use tax on eligible solar components, plus property tax exemption on the value the …
Components of residential solar PV (and related renewable energy equipment) exempt from state sales/use tax; many systems also benefit from a property tax exem…
Net metering · Delaware PSC / electric suppliers (Delmarva Power, Delaware…
Net Metering (statutory) Self-install OK ✓
Amount:Full retail-rate credit on net excess generation; residential systems up to 25 kW. Annual surplus may be cashed out at …
Rooftop solar PV and other eligible customer-generation; provides retail-rate bill credit for exported energy. (Does not cover standalone heat pumps/AC, which …
Battery incentive · JEA (Jacksonville Electric Authority, municipal utility)
JEA Solar Battery Incentive Program Likely DIY ✓
Amount:$4,000 per home/business (amount subject to change after the first 50 participants)
Residential battery energy storage paired with an approved on-site renewable generation system (solar). Battery must be new (no replacements), >=6 kWh availabl…
State tax credit · Hawai'i Department of Taxation / Hawai'i State Energy Office
Renewable Energy Technologies Income Tax Credit (RETITC) — HRS §235-12.5 Self-install OK ✓
Amount:35% of the total system cost for solar PV, capped at $5,000 per residential 'system' for single-family homes (with per-…
Residential solar PV (35% of cost, capped), solar water heating, solar thermal. Eligible cost includes panels, inverters, mounting, and labor. Batteries qualif…
State tax credit · Idaho State Tax Commission / Governor's Office of Energy an…
Residential Alternative Energy Tax Deduction (Idaho Code 63-3022C) Self-install OK ✓
Amount:Deduct 40% of cost in the year placed in service, then 20% per year for the next 3 years. Max $5,000 per year, $20,000 …
State income tax DEDUCTION for solar PV (electricity), solar thermal heating/cooling, wind, and geothermal-resource devices. Per statute it explicitly includes…
Rooftop solar PV (smart-inverter interconnection) and paired battery storage. $300/kW-DC for the solar inverter; $300/kWh for storage. Standalone storage does …
Ameren Illinois Distributed Generation Rebate (Smart Inverter) Self-install OK ✓
Amount:$300/kW-DC for generation inverters and $300/kWh for storage inverters (residential/small commercial); $250 for DS-3/DS…
Rooftop solar PV smart-inverter interconnection and energy storage systems (ESS). $300/kW-DC solar (DS-1/DS-2), $300/kWh storage; $250 for larger commercial cl…
Property-tax exemption · State of Indiana (county auditors), per IC 6-1.1-12-26 / 6-…
Renewable Energy Property Tax Exemption (Solar Energy System Deduction) Likely DIY ✓
Amount:100% exemption of the increase in assessed value attributable to the solar energy system (no separate cash value; prope…
Residential and commercial solar PV and solar thermal devices (and other renewables) - exempts the added assessed value of the system from property tax.
Iowa Solar/Renewable Energy Sales and Use Tax Exemption Self-install OK ✓
Amount:Exemption from Iowa 6% state sales tax (plus up to 1% local option) on qualifying solar equipment.
Equipment used to collect, convert, or transmit solar energy (solar panels, inverters, solar roof shingles). Does NOT cover racking/mounts or standalone batter…
Net metering · Evergy and Liberty Utilities (investor-owned utilities); co…
Kansas Net Metering (Net Metering and Easy Connection Act, K.S.A. 66-1263 et seq.) Likely DIY ✓
Amount:No upfront payment. Excess generation credited at the utility's wholesale 'system average cost' (~2.4 cents/kWh, far be…
Residential rooftop solar PV (and qualifying renewable generation). Provides bill credits for excess energy exported to the grid. Battery is not separately com…
Property-tax exemption · State of Kansas (Department of Revenue / county appraisers)
Kansas Renewable Energy / Solar Property Tax Exemption (K.S.A. 79-201 Eleventh & 79-201h) Self-install OK ✓
Amount:100% property tax exemption on the qualifying renewable energy property (no dollar cap; value-based).
Residential rooftop solar PV systems — exempts the added property value from ad valorem property tax (10 years under 79-201 Eleventh; solar systems broadly exe…
Property-tax exemption · State of Louisiana (R.S. 47:1706; parish assessors)
Louisiana Solar Energy Systems Ad Valorem (Property Tax) Exemption Self-install OK ✓
Amount:100% exemption from ad valorem (property) tax on the added value of the solar system (no cash/credit)
Residential solar PV, solar water heaters, solar space heat, passive solar, solar pool heating on owner-occupied homes. Excludes added value of the system from…
Efficiency Maine Small Battery Demand Management Program (Residential VPP) Self-install OK ✓
Amount:Up to ~$600 per battery per year; incentive computed at $180 per kW-year based on average annual kW discharge during pr…
Home battery storage. Performance-based virtual-power-plant program paying homeowners to discharge stored energy during New England grid peak events (up to ~60…
Net metering · Maryland Public Service Commission (PSC), via all electric …
Maryland Net Energy Metering Likely DIY ✓
Amount:Bill credits at full retail rate per kWh exported; no direct cash incentive.
Residential rooftop solar PV; excess generation credited at full retail rate, with indefinite roll-forward of unused credits. Note: 2026 Utility RELIEF Act set…
Solar credits (SRECs) · Maryland PSC RPS market; certification via MEA (Brighter To…
Maryland Solar Renewable Energy Certificates (SRECs) / Certified SRECs Likely DIY ✓
Amount:~$50-75 per standard SREC in 2026 (1.5x for Certified); SACP price floor $45 through 2026, declining after.
Residential rooftop solar PV. Earn 1 SREC per MWh generated; Certified SRECs (rooftop, <=5 MW, placed in service 7/1/2024-1/1/2028) earn a 1.5x multiplier.
State tax credit · Massachusetts Department of Revenue (830 CMR 62.6.1)
Residential Renewable Energy Income Tax Credit (MA state) Self-install OK ✓
Amount:15% of net expenditure for renewable energy source property, up to $1,000; unused amount carries forward up to 3 years.…
Solar and wind energy systems (solar PV and solar thermal) on the taxpayer's principal residence. Does NOT cover heat pumps. Applies to purchased/financed syst…
Net metering · Michigan Public Service Commission (MPSC); implemented by e…
Distributed Generation Program (statutory net metering / net billing successor) Self-install OK ✓
Amount:For systems 20 kW and under (Net Metering tier, where residential fits): bill credit at the full retail rate for all ex…
Rooftop / behind-the-meter solar PV (and other renewable electric generators: wind, etc.). Battery is relevant only as part of an interconnected generation sys…
Net metering · Mississippi Public Service Commission (Net Renewable Genera…
Net Metering / Net Renewable Generation (statewide, IOUs) Likely DIY ✓
Amount:Excess generation credited at the utility's value-of-DG export rate. Entergy Mississippi (per Jan 2025 PSC order): ~5.5…
Rooftop / on-site solar PV (and other on-site renewables). Home battery is allowed behind the meter but is not separately compensated; AC/heat pumps are loads,…
Heat pump / AC rebate · NorthWestern Energy (largest MT electric/gas utility)
NorthWestern Energy E+ Residential Electric – Central Heat Pump (Ductless or Ducted) Rebate Self-install OK ✓
Amount:$450 per unit
Ductless OR ducted central air-source heat pump (covers ductless mini-splits). Must be ENERGY STAR rated OR SEER2 >= 15.2 and HSPF2 >= 8.5. Applies to existing…
Low-interest loan · Montana Department of Environmental Quality (DEQ)
Montana Alternative Energy Revolving Loan Program (AERLP) Likely DIY ✓
Amount:Zero-down loans up to $40,000; 3.5% fixed interest (4.023% APR for 2026); term up to 10 years
Alternative energy systems including solar PV, solar thermal, geothermal/ground-source heat pumps, wind, micro-hydro, and EPA-certified pellet/wood stoves. Ene…
Property-tax exemption · Montana Department of Revenue (state)
Renewable Energy Systems Property Tax Exemption (MCA 15-6-224) Self-install OK ✓
Amount:100% property-tax exemption on up to $20,000 of added home value for 10 years (single-family residence)
Exempts the added assessed value of non-fossil energy generation equipment — including residential rooftop solar PV, wind, geothermal, fuel cells, and certifie…
Low-interest loan · Nebraska Department of Water, Energy and Environment (DWEE)…
Nebraska Dollar and Energy Saving Loan Program (1.5% NPPD / 5% / 3.5% tiers) Self-install OK ✓
Amount:Below-market interest: 1.5% for NPPD-territory customers, otherwise typically 3.5% or 5%. Up to $125,000 for a one/two-…
Low-interest financing for air-source heat pumps, ground-source/geothermal heat pumps, ductless mini-splits, qualifying central HVAC, AND residential photovolt…
Net metering · Nebraska statewide mandate (administered by each electric u…
Nebraska Net Metering Likely DIY ✓
Amount:Retail-rate credit for exported energy carried month to month; net excess generation reconciled at the utility's avoide…
Residential rooftop solar PV (and other qualifying customer generation) up to 25 kW per system. Battery can pair with the PV interconnection but has no separat…
Net metering · NV Energy / Public Utilities Commission of Nevada (PUCN)
Net Metering (NEM) - Nevada Self-install OK ✓
Amount:Export credit at ~75% of retail (roughly 11-11.5 cents/kWh at current ~15 cents/kWh retail). Not a cash rebate.
Residential rooftop solar PV export credits. New customers in 2026 are in Tier 4: excess generation credited at 75% of the retail rate, locked for 20 years fro…
Net metering · NH Public Utilities Commission / Department of Energy (impl…
New Hampshire Net Metering (NEM 2.0) Self-install OK ✓
Amount:Net metering credits at roughly 85% of the retail rate (~$0.23/kWh range) for the energy portion; no upfront cash. Avai…
Bill credits for excess generation from residential rooftop solar PV (systems generally up to 100 kW for residential). Compensates exported solar energy; does …
Sales-tax exemption · NJ Division of Taxation (statutory; referenced by NJBPU/DSI…
New Jersey Solar Energy Sales Tax Exemption Self-install OK ✓
Amount:Full 6.625% sales-tax exemption (roughly $1,300-$2,000 saved on a typical residential PV system).
100% exemption from NJ's 6.625% sales & use tax on solar energy equipment — panels, inverters, racking, wiring, mounting hardware (and installation labor when …
Property-tax exemption · NM Taxation & Revenue Department (applied at point of sale)
Solar Energy Systems & Energy Storage Gross Receipts Tax Deduction Self-install OK ✓
Amount:Deduction of receipts from gross receipts tax base; effectively exempts ~5%-8.8% GRT on equipment and installation (rou…
Solar PV, solar thermal (space heat/hot water/electricity), and as of July 1, 2024 paired battery/energy storage equipment used on the property where installed…
Amount:Bill credit for net excess generation (rate set by utility tariff; for systems <=10 kW utility may credit at its energy…
Customer-sited renewable generation (rooftop solar PV) interconnected to a PRC-regulated utility; systems sized up to 120% of annual usage. Excess generation c…
State tax credit · NYS Department of Taxation and Finance
New York State Solar Energy System Equipment Credit (Form IT-255) Self-install OK ✓
Amount:25% of qualified solar energy system equipment expenditures, capped at $5,000. Nonrefundable; carry forward up to 5 yea…
Residential solar PV (and solar thermal) equipment that produces energy for heating, cooling, hot water, or electricity at the principal residence. Battery sto…
Property-tax exemption · North Dakota Office of State Tax Commissioner / local count…
Renewable Energy Property Tax Exemption (Solar, Wind, Geothermal) Self-install OK ✓
Amount:100% exemption of the system's added property value for the first 5 years after installation.
Locally-assessed solar (PV and thermal), wind, and geothermal energy devices serving a building — exempts 100% of the added assessed value from local property …
Net metering · Public Utilities Commission of Ohio (utilities: AEP Ohio, D…
Ohio Net Metering (PUCO tariff) Likely DIY ✓
Amount:Self-consumed solar offsets the full retail rate (~13-14 cents/kWh); exported surplus credited at lower avoided-cost/ge…
Bill credits for residential rooftop solar PV (and other eligible generation) up to a 120% of usage sizing cap. A billing arrangement, not a rebate; affirmed b…
Net metering · Oregon Public Utility Commission (ORS 757.300; OAR ch. 860 …
Net Metering (statutory interconnection right) Self-install OK ✓
Amount:Full retail-rate kWh bill credits for net excess generation exported to the grid; unused credits roll over month to mon…
Solar PV (also wind, fuel cells, hydro, landfill gas, etc.). Residential systems up to 25 kW. A battery can be incorporated as part of the customer-generator f…
Sales-tax exemption · Rhode Island Division of Taxation
Renewable Energy Products Sales and Use Tax Exemption Self-install OK ✓
Amount:100% exemption from RI's 7% state sales/use tax on qualifying equipment (~$1,700+ on a typical 8 kW PV system).
Solar PV (rooftop), home battery storage, and geothermal heat pumps. Statute exempts: 'solar photovoltaic modules or panels, or any module or panel that genera…
Property-tax exemption · Rhode Island municipalities (per RIGL 44-3-21)
Renewable Energy Systems Property Tax Exemption (20-year) Self-install OK ✓
Amount:Up to 100% exemption of the added assessed value of the renewable energy system from local property tax, for 20 years f…
Residential renewable-energy systems including rooftop solar PV and associated equipment; solar thermal, geothermal, biogas, biomass. Applies to primary and se…
State tax credit · South Carolina Department of Revenue (SC DOR), via SC Code …
South Carolina Solar Energy, Small Hydropower, and Geothermal Tax Credit Likely DIY ✓
Amount:25% of total purchase and installation cost; capped at $3,500 per facility OR 50% of tax liability per year (whichever …
Rooftop solar PV (generation of electricity), solar thermal/water heating, solar space heating/cooling, and geothermal heat pumps. Covers panels, inverters, mo…
Heat pump / AC rebate · Black Hills Energy (investor-owned electric utility; SD + N…
Black Hills Energy - Residential Prescriptive Rebate Program (South Dakota) Self-install OK ✓
Amount:$250 each for central AC, air-source heat pump, and ductless mini-split heat pump (per the SD/NE-WY residential prescri…
Central air conditioner (>=15 SEER), air-source heat pump (>=SEER16/EER12.5/HSPF8.5), and ductless mini-split heat pump (>=SEER20/HSPF9). No solar/battery.
Property-tax exemption · State of Tennessee (Dept. of Environment & Conservation / C…
Tennessee Green Energy Property Tax Assessment Likely DIY ✓
Amount:Assessed at no more than 12.5% of installed cost (e.g., a $10,000 system adds at most ~$1,250 of taxable value)
Property tax treatment for certified green energy production property, including residential solar PV — caps the taxable/assessed value at 12.5% of total insta…
Property-tax exemption · Texas county appraisal districts under Texas Tax Code §11.2…
Texas Renewable Energy Systems Property Tax Exemption Self-install OK ✓
Amount:100% exemption of the value added by the solar/wind device; ongoing for the life of the system (no annual refiling).
Solar PV (and wind) systems and on-site battery: 100% of the added appraised home value from the solar energy device is exempt from property tax. Does not cove…
Rooftop solar PV and other customer generation systems (residential up to 25 kW). Provides a statutory right to interconnect and receive export credits.
Solar incentive · Commonwealth of Virginia (statute); utilities receive notif…
Plug-In / Balcony Solar (HB 395) Self-install OK ✓
Amount:No financial incentive. Explicitly EXCLUDED from net metering — no credit for exported energy.
Small plug-in residential solar systems capped at 1,200 watts per dwelling. Must meet UL 3700, include back-feed protection and auto-shutdown on outage.
Local Property Tax Exemption for Solar Energy Equipment (Va. Code 58.1-3661) Likely DIY ✓
Amount:Exemption of the incremental assessed value of certified solar equipment (varies by locality).
Residential solar energy equipment up to 25 kW; exempts the added assessed home value attributable to the solar system from local property tax. Adopted by many…
Sales-tax exemption · Washington State Department of Revenue (DOR), RCW 82.08.962…
Renewable Energy Sales & Use Tax Exemption (Solar/Battery Equipment) Self-install OK ✓
Amount:100% sales & use tax exemption on equipment for solar systems 1–100 kW AC; 75% refund for 100–500 kW. WA combined sales…
Residential rooftop solar PV systems 1 kW–100 kW AC (100% exemption on machinery & equipment) and 100–500 kW (75% refund). Battery storage qualifies when integ…
No self-install-eligible state program confirmed yet. Check your local utility and your state's net-metering rules — utility programs come and go faster than state law does.
Wisconsin
3 programs
Sales-tax exemption · Wisconsin Department of Revenue
Sales and Use Tax Exemption for Solar/Wind/Biogas Energy Products Self-install OK ✓
Amount:Full exemption from the 5% state sales/use tax on qualifying equipment (county/stadium add-on taxes not necessarily cov…
Rooftop solar PV (panels, modules, arrays, inverters, mounting/installation hardware); wind; solar thermal; biogas equipment. Excludes standalone battery stora…
Property-tax exemption · Wisconsin Department of Revenue / local assessors (file For…
Property Tax Exemption for Solar, Wind, and Biogas Energy Systems Self-install OK ✓
Amount:100% exemption of the added assessed value attributable to the qualifying energy system from general property taxes; no…
Solar energy systems (PV and thermal), wind energy systems, biogas/synthetic gas systems. Battery storage that is part of a solar system qualifies as equipment…
Net metering · Wyoming Public Service Commission / electric utilities (e.g…
Statewide Net Metering (Net Energy Metering) Likely DIY ✓
Amount:Monthly retail-rate kWh credit for net excess generation; at calendar year-end, remaining unused kWh credit is purchase…
Rooftop solar PV, wind, biomass, hydropower (battery can pair with an eligible generating system; net metering credit is for the generation, not storage itself)
Open the program link above and read the current terms. Utility rebates change constantly — amounts drop, funding runs out, requirements get added mid-year. The link is the source of truth, not this page.
Look for installer language. Search the terms for words like “licensed contractor,” “participating installer,” or “professional installation.” If they're absent and the application just asks for a receipt and model number, a DIY install usually qualifies — but when in doubt, call the program and ask before you buy.
Keep your paperwork. Save your purchase receipt, the equipment's model and serial numbers, and its efficiency ratings (SEER2/HSPF2 or ENERGY STAR listing). Rebate applications almost always want these, and many have a deadline of 90 days to a year after purchase.
For tax credits, exemptions, and anything filed with a tax return, talk to a tax professional. State tax credits and property-tax exemptions have their own forms, caps, and carryforward rules. We build mini-splits; we don't do your taxes.
Last updated July 2026. Programs verified (✓) were checked against a primary source as of June 2026.
Incentive programs change, run out of funding, and add waitlists without notice. Nothing on this page is tax advice, and we can't guarantee any program will apply to your purchase — always confirm the current terms with the program administrator and consult a tax professional before you rely on a credit or rebate in your budget.