Last updated: 2026-08-10

Solar in New York 2026: 25% Tax Credit, NY-Sun & Fast Payback

New York offers a 25% state tax credit (cap $5,000) plus NY-Sun rebates and full retail net metering. See how the strongest state stack in America shortens solar payback.

By The PVFig Editorial Team · 2026-08-10 · reviewed against EIA, NREL and DSIRE sources

The strongest state incentive stack

New York combines a 25% state income tax credit (cap $5,000), NY-Sun upfront rebates ($0.20–$0.40/W), full-retail net metering, and a property tax exemption. After the federal credit expired, NY is arguably the best solar state in the US for new buyers.

High rates + decent production

With electricity around 29.2¢/kWh and production ~1,214 kWh/kW, a 6 kW system in New York offsets roughly $1,900–$2,100/year in bills before incentives. The 25% credit on top can cut net cost by thousands.

Real 2026 payback

A typical New York system pays back in 7–9 years — one of the fastest in the country. Downstate (Con Ed territory, 30¢+/kWh) pays back even faster. Use the PVFig ROI calculator with your actual numbers.

FAQ

Does New York have a solar tax credit in 2026?

Yes — 25% of net cost, capped at $5,000. Combined with NY-Sun rebates and full retail net metering, it is one of the strongest solar stacks in America.

Is solar worth it in New York in 2026?

Yes — among the fastest paybacks in the US, typically 7–9 years for a 6 kW system.

What is the NY-Sun rebate?

An upfront per-watt rebate from NY-Sun (roughly $0.20–$0.40/W), which installers typically subtract from your price.

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Sources

Disclaimer: informational only — not a quote, tax, or financial advice. Figures are dated and sourced (EIA, NREL PVWatts, DSIRE, 2026). Federal residential ITC (Section 25D) expired Dec 31, 2025. Verify current figures with primary sources before deciding.

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