Just wanted to throw a little icing on the proverbial cake for all of you grid-tied solar energy producers here in Washington.
According to Section 136 of the IRS Code, energy conservation subsidies provided by public subsidies are nontaxable. What exactly does this mean, you ask? It means that you do not need to report the production incentive income you receive from your solar PV system as part of your gross income. This is because solar energy production is actually defined as “conservation” here in Washington. So, on behalf of A&R Solar and solar electricity producers across the state, thank you to the legislators responsible for this!