Solar Incentives in Massachusetts (2026)
The 30% federal tax credit for purchased home solar ended Dec 31, 2025. Here's exactly what solar incentives are left in Massachusetts in 2026 — and how much they're worth.
| State tax credit | 15% up to $1,000 |
|---|---|
| SREC market | Yes — sellable solar certificates |
| Net metering | Retail net metering (1:1) — see Massachusetts net metering → |
| Other incentives | Massachusetts gives a 15% Residential Energy Credit (capped at $1,000), the SMART per-kWh production incentive, and sales- and property-tax exemptions. |
Incentive details reflect programs active in 2026. Programs change and often have caps or waitlists — always confirm current status on DSIRE and with your installer.
Federal credit status (2026): the 30% residential clean-energy credit (Section 25D) was repealed for systems purchased and placed in service after Dec 31, 2025 — cash and financed buyers can no longer claim it. A leased or PPA system can still access the commercial credit (Section 48E), which its owner can claim through 2027 and may pass on as a lower price. That makes Massachusetts's state and utility incentives, not the federal credit, the main lever on your 2026 payback.
How much can you actually save in Massachusetts?
A typical 8 kW install in Massachusetts costs about $25,600 before incentives. Massachusetts's state tax credit (15% up to $1,000) comes straight off that, and an active SREC market adds ongoing income on top of your bill savings drive the rest of the payback. With the 30% federal credit gone, that state credit is now the single biggest upfront saving most Massachusetts homeowners can claim.
See full solar costs & payback for Massachusetts
Solar panel cost in Massachusetts →Massachusetts solar incentives FAQ
Does Massachusetts have a solar tax credit?
Yes. Massachusetts offers a state solar tax credit of 15% up to $1,000, claimed on your state income taxes. It's separate from (and, in 2026, no longer stacked with) the expired federal credit.
Does Massachusetts have an SREC market?
Yes. Massachusetts has an active SREC market, so your system earns Solar Renewable Energy Certificates you can sell for income on top of your electricity-bill savings — a meaningful extra return that many states don't offer.
Can I still get the 30% federal solar tax credit in Massachusetts?
Not if you buy the system. The federal residential (25D) credit was repealed for purchases placed in service after Dec 31, 2025. A leased or PPA system can still tap the commercial (48E) credit its owner claims through 2027, which may show up as a lower rate — but you won't file for 30% yourself on a cash or financed purchase.
What incentives are left in Massachusetts in 2026?
A 15% up to $1,000 state tax credit, retail net metering (1:1), an active SREC market, and: Massachusetts gives a 15% Residential Energy Credit (capped at $1,000), the SMART per-kWh production incentive, and sales- and property-tax exemptions. Always confirm current program status on DSIRE before signing.