Montana · Tax credit · Deep-stack program

MT Residential Renewable Energy Tax Credit

Reduces residential solar owners' tax liability in Montana -- see the credit amount, who qualifies, and how it shortens payback below.

Up to $500
stated benefit
Residential
eligible customers
16.3 yr
Montana baseline payback
3
other Montana programs
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Deep-stack program · mid directory

Montana runs a 4-program DSIRE stack; this tax credit is one layer on a 16.3-year modeled baseline, not the whole story.

  • Stack4 programs
  • In-state #2/3
  • Type #4/9
  • Baseline16.3 yr

In-state directory place #2 of 3 (mid alphabet). National tax credit directory #4 of 9. Amounts and eligibility change; verify with the official program page before relying on a dollar figure. Informational only - not financial advice. See our disclaimer.

Program description

Montana income tax credit for residential renewable energy installations.

Program at a glance

Program type
Tax credit
Eligible customers
Residential
Stated benefit
Up to $500
State electricity rate
11.8¢/kWh
Montana solar score
29/100

Solar's trajectory in Montana

The market this incentive operates in: total installed solar capacity in Montana reported to the EIA.

0 MW50 MW100 MW150 MW200 MW 20172018201920202021202220232024 179 MW
Montana now has about 179 MW of installed solar, the backdrop programs like this one are built on.

Source: U.S. Energy Information Administration, installed solar nameplate capacity As of 2024

Montana's solar incentive stack

How this tax credit sits among Montana's 3 tracked programs, by type

programs

What this shows Montana tracks 3 incentive types; 1 of them, including this one, are tax credits. Credits reduce what solar owners owe directly, on top of whatever the other stacked types provide.

Source DSIRE incentives registry As of 2024

How this tax credit layers inside Montana's deep stack

The MT Residential Renewable Energy Tax Credit is a state-level credit against what you owe, tracked as one of Montana's solar incentives in the DSIRE registry. Eligibility is scoped to residential customers, with a stated benefit of Up to $500. DSIRE lists no scheduled sunset, though enabling legislation and appropriations can still be revised year to year.

That baseline is slower than most states, which raises the stakes for every incentive on the table. Montana averages 5 kWh/m²/day of usable sunlight and residential rates of 11.8¢/kWh, producing an estimated 8,760 kWh/year and $1,034 of annual utility offset on a typical 6 kW system costing $16,800. That baseline already implies a 16.3-year simple payback and a 25-year modeled net of roughly $9,050 before this incentive - every dollar this tax credit delivers compresses that payback further.

Montana bundles a deep incentive stack, so this program rarely stands alone. Montana has 4 solar incentive programs indexed in DSIRE, including adjacent options like MT Solar Property Tax Exemption, MT Net Metering. The state's net-metering policy is classified as full, which governs how excess generation is credited and often decides whether a given program is worth claiming for a specific household.

Frequently asked questions

Where does the MT Residential Renewable Energy Tax Credit sit in Montana's deep program stack?
The MT Residential Renewable Energy Tax Credit is a tax credit available to residential solar customers in Montana. The stated benefit is Up to $500.
How does this tax credit work beside Montana's other programs?
Montana income tax credit for residential renewable energy installations.
Who is eligible for the MT Residential Renewable Energy Tax Credit?
The program is available to residential customers in Montana. Check the official program page for current eligibility requirements and deadlines. In-state directory place #2 of 3 (mid alphabet).
How does this incentive affect solar ROI in Montana?
Montana has an estimated 16.3-year payback for a 6 kW system before incentives, with about $1,034/year in modeled savings. A tax credit like this lowers upfront cost or raises annual return, shortening that payback. Run the calculator for a figure based on your own bill.
Which other Montana programs stack with this one?
Montana has 4 solar incentive programs tracked in DSIRE, including MT Solar Property Tax Exemption, MT Net Metering. State programs are designed to stack on top of any available federal solar tax credit rather than replace it.

Incentive data from the DSIRE (Database of State Incentives for Renewables & Efficiency); state solar economics from NREL and the U.S. EIA. See our methodology · Montana solar data · ROI calculator · All incentives.