and
RI State Tax Credits
are available up to 25%" The former caps on federal have been removed
and
RI’s tax credit is 25% with a maximum credit..
Tax Incentives
Renewable Energy Incentives Available For Homeowners in The State Of Rhode Island
Renewable energy products, as defined in section 44-56-1 of the general laws in chapter 44-56, are exempt from sales tax in the state of Rhode Island.
The State of Rhode Island has a residential renewable energy system tax credit which offers a 25% income tax credit for homeowners who install renewable energy systems including solar domestic hot water systems, solar space heating systems, wind energy systems, geothermal, and photovoltaic energy systems. (General Law Chapter 44-57, section 44-57-2, 44-57-4, 44-57-5 AND 44-57-7).
Federal Energy Tax Incentives
"The American Recovery and Reinvestment act of 2009 extended many of the tax incentives introduced in the Energy Policy Act of 2005. Businesses, utilities and governments are also eligible for tax credits.
A tax credit is generally more valuable than an equivalent tax deduction because a tax credit reduces tax dollar-for-dollar, while a deduction only removes a percentage of the tax that is owed. Consumers can itemize purchases on their federal income tax form, which will lower the total amount of tax they owe the government.
Consumers who install solar energy systems (including solar water heating and solar electric systems), small wind systems, geothermal heat pumps, and residential fuel cell and micro-turbine systems can receive a 30% tax credit for systems placed in service before December 31, 2016; the previous tax credit cap no longer applies"
From the US Department of Energy