Local Option - Solar Sales Tax Exemption
Consolidated Edison Co-NY Inc commercial energy efficiency rebate program
program summary
This program was entered in as a duplicate in the system, please click here for the active page.
New York enacted legislation in July 2005 exempting the sale and installation of residential solar-energy systems from the state's sales and compensating use taxes. The exemption applies to solar-energy systems that utilize solar radiation to produce energy designed to provide heating, cooling, hot water and/or electricity. In 2012 the exemption was also extended to commercial solar energy systems, effective January 1, 2013. In 2015 the exemption was extended to solar systems that are owned by third party owners, who provide solar electricity to residential and commercial users. Both solar lease payments and the receipts of the sale of electricity by such systems are exempt from state sales and use tax.
The exemption does not apply to solar pool heating or other recreational applications. The laws also permit local governments (municipalities and counties) to grant an exemption from local sales taxes. If a city with a population of 1 million or more chooses to grant the local exemption, it must enact a specific resolution that appears in the state law. Local sales tax rates in New York range from 1.5% to more than 4% in addition to the general state sales tax rate of 4%.
The New York Department of Taxation and Finance publishes a variety of sales tax reports detailing local tax rates and exemptions, including those for solar energy equipment. The solar sales tax list (Publication 718-S) is updated frequently. The New York Department of Taxation and Finance has issued a small amount of additional guidance and instructions on how to claim the exemption in Publication TSB-M-05(11)S (residential), Publication TSB-M-12(14)S (commercial), and Publication TSB-M-15(5)S (PPAs).
eligible technologies
Solar - Passive, Solar Water Heat, Solar Space Heat, Solar Photovoltaics
program timeline
Program start date: Residential: 09/01/2005 (state authorization, resultant local exemptions may differ)
Commercial: 01/01/2013 (state authorization, resultant local exemptions may differ)
program notes
- April 14, 2015
- A03009B enacted on April 2015, extends the state sales and use tax exemption for solar lease payments, and for sale of solar electricity from third party owners.
- July 31, 2020
- Annual Review, added 2018 update, added authority link
- December 4, 2023
- Annual review, updated links.
What cities does Consolidated Edison Co-NY Inc cover?
- The following cities are in the Consolidated Edison Co-NY Inc service area. However, this program may not be
available in every city. Check the program website for details.
- Ardsley, Armonk, Arverne, Astoria, Bayside, Bedford, Bedford Hills, Bellerose, Briarcliff Manor, Bronx, Bronxville, Brooklyn, Buchanan, Cambria Heights, Chappaqua, College Point, Corona, Cortlandt Manor, Crompond, Croton On Hudson, Dobbs Ferry, East Elmhurst, Eastchester, Elmhurst, Elmont, Elmsford, Far Rockaway, Floral Park, Flushing, Forest Hills, Fresh Meadows, Glen Oaks, Great Neck, Greenwich, Harrison, Hartsdale, Hastings On Hudson, Hawthorne, Hollis, Howard Beach, Irvington, Jackson Heights, Jamaica, Jefferson Valley, Katonah, Kew Gardens, Lake Peekskill, Larchmont, Lawrence, Little Neck, Long Island City, Mahopac, Mamaroneck, Maspeth, Middle Village, Millwood, Mohegan Lake, Montrose, Mount Kisco, Mount Vernon, New Hyde Park, New Rochelle, New York, Oakland Gardens, Ossining, Ozone Park, Peekskill, Pelham, Pleasantville, Port Chester, Pound Ridge, Purchase, Queens Village, Rego Park, Richmond Hill, Ridgewood, Rockaway Park, Rosedale, Rye, Saint Albans, Scarsdale, Shrub Oak, South Ozone Park, South Richmond Hill, Springfield Gardens, Staten Island, Sunnyside, Tarrytown, Thornwood, Tuckahoe, Valhalla, Valley Stream, West Harrison, White Plains, Whitestone, Woodhaven, Woodside, Yonkers, Yorktown Heights