AR HB1769

Creates a state income tax credit equal to the lesser of 35% of eligible expenditures or $5,000 for single-family residence owners and $500 per unit for residential rental apartment building owners who install solar energy systems.

Allows the credit for taxpayers who purchase newly constructed single-family residences with solar systems already installed, or who purchase and install solar systems in new or existing single-family or multifamily residences located in Arkansas.

Credit may be claimed once per residence and taken in the tax year the solar system installation is complete and operational, or when a newly constructed residence with solar is purchased.

Credit may be used in addition to federal tax credits but cannot be combined with other state tax credits or benefits; cannot exceed actual income tax due; and may be carried forward for up to 5 consecutive tax years.

Department of Finance and Administration will issue eligibility certificates on a first-come, first-served basis up to $2,500,000 per fiscal year; effective for tax years beginning January 1, 2014.