What Washington offers for home solar
We read the state law, the IRS credit page, Seattle City Light's solar page and Clark Public Utilities' solar page on October 6, 2026. We did not find a verified rebate from Puget Sound Energy, Avista or Tacoma Power for solar panels on the pages we read, so we list none.
Washington sales and use tax exemption
For equipment and installation labor on a solar system of 100 kilowatts AC or less, from July 1, 2019 through December 31, 2029.
Seattle City Light net metering
Systems up to 100 kilowatts earn credits for power sent to the grid. Extra credits roll forward and one more meter on the same parcel can share them.
Clark Public Utilities solar program
Lists net metering production credits and a review of your installation contract. It warns that plug-in solar panels are not legal in Washington.
Federal residential clean energy credit
The 30 percent credit does not apply to property placed in service after December 31, 2025.
Working it out
Seattle City Light says an average Seattle home system is about 8 kilowatts and costs between $25,000 and $30,000 before incentives. Sales tax is not a flat state number, so we do not guess the dollar value of the exemption. Ask your installer to show the tax line on the quote, and ask whether the exemption is taken at the register or paid back later by the state. The law says the purchaser may need to pay the tax and apply for a remittance.
What the sales tax exemption covers
The state law is RCW 82.08.962. For solar systems that can make no more than 100 kilowatts of alternating current, it gives a full exemption from state and local sales tax on the machinery and equipment used directly to make power, and on the labor and services to install it. The system must be able to make at least 1,000 watts. The exemption runs from July 1, 2019 through December 31, 2029, and the section itself expires on January 1, 2030. Larger systems of 100 to 500 kilowatts get a 50 percent exemption under different rules, which does not matter for a typical house.
The law also describes some cases as remittances, where the buyer pays the tax first and applies to the Department of Revenue. We could not confirm from the law alone which path a small home system takes. Ask your installer in writing.
Net metering in practice
Net metering means the utility credits the power your panels send to the grid against the power you take from it. Seattle City Light credits it at your retail rate for systems up to 100 kilowatts. A utility's rules can change, and the pages we read for Puget Sound Energy, Avista and Tacoma Power did not give net metering terms we could verify, so ask your own utility for its current policy and any limits before you sign a contract.
How to avoid a bad quote
Seattle City Light's page says to get at least three bids and check references. Clark Public Utilities says no solar contractor works for the utility, and asks you to call it if one claims to. Ask every bidder to state the system size, the yearly output they expect, the total price, the tax line and what happens if the panels make less than promised. A quote that counts on a federal credit in 2026 is out of date, since that credit ended after 2025. Our Washington battery guide covers the storage side.
Where lower-income homes can look
The state's home electrification rebates, run by local partners, list heat pumps, water heaters, induction cooking, dryers and wiring, not solar panels. For help with bills, ask your community action agency about the state weatherization and LIHEAP programs listed by the Department of Commerce. Our Washington home electrification guide explains the program.
How to approach Washington solar in 2026
- Find your utility on your bill and ask for its current net metering terms.
- Get at least three bids that show system size, price, expected output and the sales tax line.
- Ask each installer how the sales tax exemption will be applied and what paperwork you must file.
- Do not accept a quote that counts on the federal credit for a 2026 install.
- Think about a battery only after the solar quote makes sense by itself.
More for Washington homes
- Washington home rebates: every program in one place
- Washington rebate hub: every utility and program in one place
- Washington battery guide: storage and utility battery programs
- Washington home electrification rebates: state programs and the sales tax exemption
- Seattle City Light rebates: net metering details
Common questions
Is there a solar rebate in Washington?
We did not verify an upfront rebate from the state or from the utilities we read. The state exempts solar equipment and installation from sales tax for systems up to 100 kilowatts through December 31, 2029.
Is the federal solar tax credit still available?
No. The IRS says the 30 percent residential clean energy credit does not apply to property placed in service after December 31, 2025.
What is net metering?
A bill credit for power your solar panels send to the grid. Seattle City Light credits it at your retail rate for systems up to 100 kilowatts.
Can I use plug-in solar panels?
Clark Public Utilities says modular plug-in solar panels are not legal in Washington and should not be plugged into 110-volt sockets.
How do I find the sales tax rule?
It is Revised Code of Washington 82.08.962, linked in our sources below.
By Sam Menard. Sources, last read October 6, 2026: Washington RCW 82.08.962 solar sales tax exemption, IRS Residential Clean Energy Credit, Seattle City Light solar power, Clark Public Utilities solar energy program.