RI Gen L § 44-57-5 (2021)
2021 Rhode Island General Laws|Title 44 - Taxation|Chapter 44-57 - Residential Renewable Energy System Tax Credit|Section 44-57-5 - Computation of tax credit.

§ 44-57-5. Computation of tax credit.(a) The tax credit on each system as provided for in this chapter shall be determined as follows:(1) Photovoltaic systems:(a) (1) (i) (A) Photovoltaic systems shall have a minimum module size of twenty-four (24) square feet; and(B) Be connected to a battery storage system or be grid interconnected;(ii) Qualifying systems shall receive a tax credit of:(A) Twenty-five percent (25%) of the cost of the system.(iii) The maximum cost of the system shall not exceed fifteen thousand dollars ($15,000); provided, systems costing more than fifteen thousand dollars ($15,000) will receive a tax credit based on a fifteen thousand dollar ($15,000) system cost.(2) Solar domestic hot water systems:(a) (2) (i) (A) Solar domestic hot water systems shall have a minimum collector area of thirty-four (34) square feet; and(B) A solar storage tank that is at least eighty (80) gallons.(ii) Qualifying systems shall receive a tax credit of:(A) Twenty-five percent (25%) of the cost of the system.(iii) The maximum cost of the system shall not exceed seven thousand dollars ($7,000); provided, systems costing more than seven thousand dollars ($7,000) will receive a tax credit based on a seven thousand dollar ($7,000) system cost.(3) Active solar heating systems:(a) (3) (i) (A) Active solar space heating systems shall have a minimum collector area of one hundred twenty-five (125) square feet; and(B) A system for storing and/or distributing the heat to the living area of the house.(ii) Qualifying systems shall receive a tax credit of:(A) Twenty-five percent (25%) of the cost of the system.(iii) The maximum cost of the system shall not exceed fifteen thousand dollars ($15,000); provided, systems costing more than fifteen thousand dollars ($15,000) will receive a tax credit based on a fifteen thousand dollar ($15,000) system cost.(4) Wind energy systems:(a) (4) (i) (A) Wind energy systems must have a rotor diameter of at least forty-four inches (44″); and(B) Have a minimum factory rated output of at least two hundred fifty (250) watts at twenty-eight (28) mph.(ii) Qualifying systems shall receive a tax credit of:(A) Twenty-five percent (25%) of the cost of the system.(iii) The maximum cost of the system shall not exceed fifteen thousand dollars ($15,000); provided, systems costing more than fifteen thousand dollars ($15,000) will receive a tax credit based on a fifteen thousand dollar ($15,000) system cost.(5) Geothermal systems:(i) Geothermal systems must have either a coefficient of performance of 3.4 or greater or an efficiency ratio of sixteen (16) or greater. All geothermal systems must have a commissioning sign-off by the manufacturer or distributor of the equipment to verify the proper installation and performance of the system. All geothermal systems must meet the following standards:(A) ARI/ASHRAE/ISO-13256-1 for water to air geothermal systems;(B) ARI/ASHRAE/ISO-13256-2 for water to water geothermal systems;(C) ARI/ASHRAE/ISO-13256 GWHP for groundwater heat pumps;(D) ARI/ASHRAE/ISO-13256 GLHP for closed loop heat pumps;(ii) Qualifying systems shall receive a tax credit of:(A) Twenty-five percent (25%) of the cost of the system.(iii) The maximum cost of the system shall not exceed seven thousand dollars ($7,000). Provided, systems costing more than seven thousand dollars ($7,000) will receive a tax credit based on a seven thousand dollar ($7,000) system cost.(b) For purposes of the tax credit, the cost of the renewable energy system shall be the net cost of acquiring the system, and shall not include:(1) Unpaid labor including the applicant's labor;(2) Operating and maintenance costs;(3) Land costs;(4) Legal and court costs;(5) Patent search fees;(6) Fees for variances;(7) Loan interest;(8) Service contracts;(9) Cost of moving a used renewable energy system from one site to another;(10) Cost of repair or resale of a system;(11) Any part of the purchase price that is optional, such as an extended warranty or an upgraded monitoring system; and(12) Delivery fees.History of Section.P.L. 2000, ch. 145, § 1; P.L. 2005, ch. 281, § 3; P.L. 2005, ch. 305, § 3; P.L. 2009, ch. 339, § 1; P.L. 2009, ch. 340, § 1.