Likelihood of ITC going away end of 2016?

[Cosmacelf]

Since there seems to be a lot of knowledgeable people here, does anyone have insight on whether or not the 30% Investment Tax Credit for alternative energy installs will disappear on schedule end of 2016?

 

[cpa]

I believe that our elected leaders will wait until the last minute to decide whether or not to extend this sort of tax benefit. Since we will have a new president and many new representatives, my money is on the fact that they will let the provision expire, and then they will retroactively restore it sometime during the 2017 Congress. They might tweak the eligibility by placing caps or phaseouts for higher income people (this is one of their favorite gimmicks!) (Just look at how many tax breaks there are in the law, from tuition credits to itemized deductions that get reduced or eliminated once a taxpayer's income exceeds certain thresholds.)

The IRS compiles enormous amounts of data culled from all 110,000,000+ returns that are filed, and Congress receives summaries of just how much these tax benefits cost the government. Then it is up to these individuals to determine how and for how long to renew them, if at all.

But like I advise my clients: You pays your money, and you takes your chances!

 

[trils0n]

I really hope that the 30% ITC does not go away as scheduled. It is one of the single most important drivers for the switch to renewable energy, and letting it expire would be terrible. 10s of thousands of solar workers will probably lose their jobs if it expires, and would set back solar by years. It needs to be renewed before it expires to prevent huge amounts of uncertainty that will hamper the industry. Now is not the time to take away renewable energy subsidies, if anything they should be expanded.

I assume industry groups are working/lobbying to ensure it is extended, but what about citizens, individuals? The ITC doesn't just benefit solar companies, but home and business owners that want to go solar. ITC is probably a popular policy, and representatives should know their constituents support it. Anyone know if there are any campaigns to show citizen support for the ITC?

 

[schueppert]

I have no inside knowledge on the politics of this issue, but I certainly don't have much confidence the credit will be extended in the current political environment. I suppose it probably depends on the outcome of elections next year. Planning on getting my Powerwall/PV in place before the end of next year to be sure to get the credit - hope Tesla can deliver!