Florida solar rebates and incentives: 2025 guide
The average Florida solar shopper will save $3,233 on solar panels with rebates and incentives. But act fast—the biggest incentive expires after this year.
Updated Jul 23, 2025
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Florida is a fantastic place for rooftop solar. Most days are sunny, the solar policies are generally favorable—and most homes can comfortably handle all their heating, cooling, cooking, and driving with electricity. The only limit on how much money solar panels can save you is the size of your roof.
Florida’s best incentive is a robust net-metering policy, which awards homeowners with full cash credit for any solar they send to the grid. It doesn’t lower the cost of installation, but it does help make your solar power more valuable and speed up your payback period. And of course, there’s the federal solar tax credit, too, which brings down the cost of installation significantly. However, the federal solar tax credit will no longer be available for systems installed after December 31, 2025, so you have to go solar this year to claim it.
The single biggest solar incentive in Florida is actually a federal tax credit.
Incentive | Average savings in Florida | Description |
---|---|---|
Residential Clean Energy Tax Credit, formerly the federal investment tax credit (ITC) | $3,233 | Lowers your solar panel system's cost by 30%—but only for systems installed before January 1, 2026 |
Residential Clean Energy Credit
The Residential Clean Energy Credit, formerly known as the federal investment tax credit (ITC), can reduce your solar panel system's cost by 30%. Your entire system, including all the equipment, labor, permitting, and sales tax, qualifies for the ITC.
However, this credit will no longer be available after December 31, 2025. On July 4, 2025, President Trump signed legislation that eliminates the residential solar tax credit entirely starting January 1, 2026—nearly a decade ahead of its original expiration date. Solar projects typically take several months from consultation to installation, so homeowners considering solar should act quickly to lock in these savings.
In Florida, the average cost for a 5 kW solar panel system is around $10,777. Once you factor in the 30% credit, the cost of a solar panel system in Florida comes down to $7,544—a savings of $3,233.
When you file your taxes, you can claim this incentive as a credit towards your federal tax bill. Just keep in mind that to qualify for the ITC, you need to purchase your system either with cash or a solar loan–if you lease your system, you won't be eligible.
You also need a high enough tax bill to use the credit, though you can roll over any remaining credit year-to-year, according to a tax expert EnergySage spoke with. The IRS doesn't specify an end date for credit rollovers, meaning you can theoretically roll over unused credits indefinitely based on current law. However, Tax Form 5695 may no longer exist after 2025, so you likely will no longer be able to use that form. Please speak with a tax professional for specific guidance.
How to claim the ITC in Florida
Remember: Your system must be installed by December 31, 2025 to qualify for this credit.
Local incentives
A handful of cities and towns around Florida offer grants, rebates, or low-interest loans to homeowners that install solar panels, including Boynton Beach, Dunedin, and Tallahassee.
In addition to the great rebates and incentives above, Florida also offers tax exemptions for solar panel systems. The solar sales tax exemption ensures that you won't have to pay a sales tax on your system, while the solar property tax exemption means you don't need to pay a higher property tax for adding solar panels to your house.
Tax exemption | Description |
---|---|
Florida solar sales tax exemption | You don't need to pay any sales tax on new solar panel systems in Florida, saving at least 6% of your system costs. |
Florida solar property tax exemption | If you use solar energy as a source of power, you won't need to pay property tax on the value your solar panels add to your property. The average property tax in Florida is 0.82% |
If you connect your solar panel system to the grid, you can benefit from net metering—which is really the ultimate incentive for rooftop solar, even more than big rebates and tax credits.
Under net metering, the sun doesn’t need to shine all the time to get massive value from your solar panels. Your electric utility company essentially works like a bank account for all the energy your panels produce in a given month.
When the sun shines, your home’s electrical system first takes as much power as it needs from the solar panels. If the panels make any excess energy, it gets sent back onto the grid, and your utility company gives you full credit for all of it on your energy bill.
When the sun isn’t shining and you need grid electricity to power your home, the utility company just starts drawing against your credits. You won’t pay for electricity until those credits run out.
A few nuances to keep in mind:
Solar metering in Florida is credited in kWh, rather than dollars. Any monthly fixed costs (like meter connection fees) may need to be paid in cash—kWh credits won’t apply.
Credits roll over from month-to-month, but reset at the end of a 12-month period. Any excess credits will be converted to cash at a reduced rate per kWh and paid out to you. The rate is typically 3 to 5 cents per kWh, depending on the utility. Different utilities also have different “true up” dates, when the counter resets.
Florida doesn't offer any state-specific battery incentives. Solar batteries don’t make much financial sense for Florida homeowners anyway, because the net metering policy is so consumer friendly that you don’t really benefit from hoarding your solar power. None of the utility companies in Florida offer a virtual power plant program for homeowners, either.
However, if you’re interested in a battery as a backup power source for your home, all batteries above 3 kWh in size are eligible for the 30% federal tax credit.
If you're looking for solar installers in Florida, here are some popular suggestions:
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