HB 2330 Summary

• Establishes a tax credit for Arizona residents who install residential water augmentation systems (rainwater harvesting or graywater systems) in their homes from January 1, 2018 through January 1, 2026.

• Credit amount equals 25 percent of system cost, capped at $1,000 per residence, with a lifetime aggregate limit of $1,000 per residence and a one-time-per-year claim limitation.

• Qualifies rainwater collection systems with storage devices and graywater systems connected to on-site wastewater systems, but excludes systems installed by builders before title transfer to the taxpayer.

• Allows unused credits to carry forward for up to five consecutive tax years, and requires taxpayers to apply with the department, which certifies eligibility.

• Limits total credits authorized statewide to $250,000 per calendar year, with credits granted on a first-come, first-served basis.