Renewable Energy Products Sales and Use Tax Exemption

Rhode Island Tax Incentive

program summary

Certain renewable energy systems and equipment sold in Rhode Island are exempt from the state's sales and use tax. Eligible products include solar electric systems, DC-to-AC inverters that interconnect with utility power lines, solar thermal systems, manufactured mounting racks and ballast pans for solar collectors, geothermal heat pumps, and wind turbines and towers.

eligible technologies

Geothermal Heat Pumps, Solar Photovoltaics, Solar Pool Heating, Solar Space Heat, Solar Thermal Electric, Solar Water Heat, Wind (All), Wind (Small)

program administrator

Rhode Island Department of Revenue Division of Taxation

program timeline

Program start date: 2005-07-15

list of rebates

- Flat rebate of 100% of cost (Geothermal Heat Pumps)

- Flat rebate of 100% of cost (Solar Photovoltaics)

- Flat rebate of 100% of cost (Solar Pool Heating)

- Flat rebate of 100% of cost (Solar Space Heat)

- Flat rebate of 100% of cost (Solar Thermal Electric)

- Flat rebate of 100% of cost (Solar Water Heat)

- Flat rebate of 100% of cost (Wind (All))

- Flat rebate of 100% of cost (Wind (Small))

program notes

2025-09-30 20:15:15: Annual review: updated links and added machine-readable data
2023-12-05 19:15:27: Annual review; removed website link http://www.energy.ri.gov/policies-programs/programs-incentives/ (now https://energy.ri.gov/incentives ) as the page no longer directly lists the sales tax exemption. Other parts of the website still mention the exemption, hyperlinking directly to the statute listed under Authority.
2022-12-08 16:43:29: Annual review; updated authority link.
2021-03-12 22:06:56: Annual review; no changes.
2020-07-31 15:45:31: Annual Review, no changes
2019-07-01 15:00:32: Annual review; no policy changes. Updated program website.
2015-05-06 16:18:06: No policy changes.