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Fix First Home › Arizona › Arizona solar energy credit (Form 310)

Arizona solar energy credit (Form 310) open

Administered by the Arizona Department of Revenue.

Arizona gives a nonrefundable income tax credit of 25% of the cost of a solar energy device on your home, up to $1,000 per residence, with five years to use any excess. You must buy the system: a leased system or a power purchase agreement does not qualify.

source · verified 2 October 2026 · amounts in US dollars

What it pays

The credit, claimed on Form 310 with Form 301
UpgradeConditionUp to
Solar energy device25% of cost including installation$1,000

What counts as a solar energy device

  • Solar photovoltaic systems, including batteries, inverters and system wiring
  • Solar water heating and solar pool or spa heating
  • Passive solar building systems such as a Trombe wall
  • Solar daylighting systems (not ordinary skylights)
  • Wind generators and wind-powered pumps

Excluded 'regardless of efficiency': air conditioners, heat pumps, evaporative coolers and furnaces; also insulation, radiant barrier, dual-pane and low-e windows, shade screens and weather stripping.

Who is eligible

who
Arizona residents who are not another taxpayer's dependent, for a device in their Arizona residence.
limit
$1,000 cumulative per residence; a second home can get its own $1,000, but no more than $1,000 in one tax year in all.
carryforward
Unused credit carries forward up to five years.
paperwork
The seller gives you a certificate that the device meets Arizona's requirements.

What disqualifies you

The rules people find out about after the work is done.

  • Leased systems and power purchase agreements.
  • Conventional heating and cooling equipment, however efficient.
  • Insulation, windows and shade screens.

Where the application goes

Claim it on your Arizona return with Forms 310 and 301.

Where the application goes
If this is youApply here
Form 310azdor.gov
2025 instructionsazdor.gov

The thing most pages get wrong

Most rooftop solar sold on a lease or power purchase agreement gets nothing from this credit. Arizona's instructions: 'If you lease or enter into a power purchase agreement (PPA) for the solar energy device, that device does not qualify for this credit.'

The federal credit is gone

The federal Residential Clean Energy Credit ended for systems placed in service after 31 December 2025, so this $1,000 is the tax credit left for an Arizona solar buyer.