Schedule EC: Solar and Wind Energy Credit (2025)

Who files this form

Complete Schedule EC to claim the Massachusetts Solar and Wind Energy Credit. You may qualify if you:

• Own or rent residential property in Massachusetts and occupy it as your principal residence.
• Are not another taxpayer’s dependent.
• Have qualifying solar or wind energy property installed at that residence.

You must be the first person to use the equipment. It must be expected to last five years and meet the performance and quality standards prescribed by the Commissioner of Revenue.

A summer or vacation home does not qualify. Equipment a landlord places in a rental unit does not qualify. For new construction, the credit is available to the original owner-occupant.

What you'll need

Have the following information ready:

• Your name as shown on Form 1 or Form 1-NR/PY, Social Security number, and the street address of your principal Massachusetts residence.
• The cost of qualifying equipment installed in 2025, including installation costs.
• A statement describing the expenditures, which you must enclose.
• The amount of any related U.S. HUD grant or rebate.
• The total energy credit previously taken for the same residence.
• Your 2024 Schedule EC if you have unused credits to carry forward.
• Your tax amount and information about other credits needed to complete line 9.

How to file

Complete Schedule EC and enclose it with your Massachusetts tax return. Also enclose the statement describing your qualifying expenditures.

Enter the smaller of line 8 or line 9 on line 10 and on the Credit Manager Schedule. Line 10 cannot exceed $1,000.

If you moved during the tax year and had more than one qualifying principal residence, file a separate Schedule EC for each residence. The combined credits cannot exceed $1,000.

The supplied text does not give a mailing address or e-filing directions.

Common mistakes

• Leaving out Schedule EC. You must complete and enclose it with your return. Otherwise, the credit will be disallowed and your reported tax adjusted.
• Using a PO box. Enter the actual street address of your principal Massachusetts residence.
• Including repair or maintenance costs. The form specifically excludes them.
• Including excluded equipment or improvements. Examples include wood-burning stoves, oil and gas furnaces, heat pumps not solely powered by renewable energy, structural components, insulation, and storm or thermal windows or doors.
• Overlooking the limit when you move. Separate schedules are required for multiple qualifying principal residences in the same tax year, but the combined credit cannot exceed $1,000.
• Using credits without considering expiration. The instructions remind you that it is more advantageous to use credits that expire first.

Questions people ask

How much is the credit?

The credit is 15% of net qualifying expenditures, subject to a $1,000 maximum during the entire time you live in the same principal residence. Subtract any energy credit previously taken for that residence from the $1,000 maximum. Your allowable credit is also limited by the tax amount calculated on line 9.

Does a U.S. HUD grant or rebate reduce the qualifying cost?

Yes. Enter the related grant or rebate on line 2 and subtract it from line 1. The net expenditure on line 3 cannot be less than zero.

Can I get a refund for unused credit?

No. Excess credit is not refundable, but it may be carried over for three succeeding years. Complete line 11 if line 8 exceeds line 10 or you have unused credits from prior years.

What if I own the home jointly with someone else?

Joint owners who occupy the property as their principal residence share the available credit in proportion to their ownership interests.

Can a condominium or cooperative housing unit qualify?

Yes. The instructions say a condominium or cooperative housing corporation dwelling unit may qualify.

Official sources

• https://www.mass.gov/lists/dor-tax-forms-and-instructions