Sales and Use Tax Exemption for Solar and Geothermal Systems

March 20, 2023

Summary

Connecticut enacted legislation in June 2007 (H.B. 7432) that established a sales and use tax exemption for solar energy equipment and geothermal resource systems. H.B. 7432 added passive and active solar water-heating systems, passive and active solar space-heating systems, and solar-electric systems to the list of exempt technologies. The sales and use exemption covers both the equipment related to eligible systems, and labor (services) relating to the installation of eligible systems. The exemption has no expiration date.

Consumers purchasing the eligible equipment or services must present form CERT-140 to the seller at the time of purchase. Certification Form CERT-140 is available on the Connecticut Department of Revenue Services website.

Program Overview

Implementing Sector: State
Category: Financial Incentive
State: Connecticut
Incentive Type: Sales Tax Incentive
Web Site:
Administrator: Connecticut Department of Revenue Services
Start Date: 7/1/2007
Eligible Renewable/Other Technologies:
  • Solar Water Heat
  • Solar Space Heat
  • Solar Photovoltaics
  • Geothermal Heat Pumps
  • Geothermal Direct-Use
  • Other Distributed Generation Technologies
Incentive Amount: 100% exemption

Authorities

Name: Conn. Gen. Stat. § 12-412(117)
Date Enacted: 6/4/2007
Effective Date: 7/1/2007

Contact

Name: Public Information
Organization: Department of Revenue Services
Address: 450 Columbus Blvd., Suite 1
Hartford CT 06103
Phone: (860) 297-5962

This information is sourced from DSIRE; the most comprehensive source of information on incentives and policies that support renewables and energy efficiency in the United States. Established in 1995, DSIRE is operated by the N.C. Clean Energy Technology Center at N.C. State University.