If you’re a homeowner in Western New York considering a solar energy system, there’s a big financial perk you should know about: Installing solar panels won’t increase your property taxes. Thanks to New York State’s Real Property Tax Law (RPTL) Section 487, the value that solar adds to your home is completely exempt from local property taxation for 15 years.
Here’s what that means, and why it’s great news if you’re thinking about making the switch to solar:
Solar Adds Value—But Not to Your Tax Bill
Installing solar panels can significantly increase your home’s market value, thanks to reduced energy costs, increased energy independence, and growing buyer demand for green homes. However, under RPTL Section 487, this added value is excluded from property tax assessments.
In other words, your home may be worth more after installing solar, but your tax bill won’t reflect that increase for 15 years. That’s a major win for your wallet.
How the Property Tax Exemption Works
- Duration: The exemption lasts for 15 years from the date your solar system is installed.
- Assessed Value Protection: Your local tax assessor will not raise your property’s assessed value due to the solar installation.
- No Additional Paperwork for Most: In many cases, the exemption is applied automatically when your system is registered and inspected properly.
A Few Caveats to Know
While New York State law provides this exemption, individual taxing jurisdictions (like towns or school districts) may opt out of it. It’s a good idea to check with your local assessor’s office or consult with a solar expert (like NST!) to understand how the exemption is applied in your area.
Special Note for NYC Residents
If you’re located in New York City, there’s a different program in play. Instead of the 15-year exemption, the city offers a Property Tax Abatement through the NY-Sun program. This allows homeowners to offset their taxes by a percentage of the solar system’s cost over several years.
Don’t Forget the Sales Tax Savings
In addition to the property tax break, New York also exempts residential solar systems from state sales and use tax. That’s another 8-9% savings right off the top when you go solar.
Ready to Go Solar in Western New York?
At National Solar Technologies, we help homeowners throughout Western New York make the switch to solar with confidence. From system design and installation to navigating state and local incentives, we make it easy to take advantage of all the benefits—including those tax exemptions.
If you’re ready to start saving with clean, renewable energy, we’re here to help.
Solar energy is not just smart for the planet—it’s smart for your home value, utility bills, and taxes. Let’s bring solar savings to your doorstep.
Contact us today to learn more about making the switch to clean, cost-effective solar energy.
