Arizona Solar Energy Equipment Property Tax Exemption

Arizona Department of Revenue

Available Solar & Renewable

About This Program

Arizona exempts solar energy devices from property tax assessment in Prescott. When you install solar panels, the added home value from the solar system is not included in your property tax assessment, providing ongoing savings.

Typical $20,000 solar system adds no property tax; saves approximately $200-300 annually

Official program page checked live on 2026-06-17.

Data last verified 2026-06-09. How we verify our data.

Key Details

  • Solar equipment exempt from property tax
  • No increase in property assessment from solar
  • Automatic exemption, no application needed
  • Ongoing savings for life of solar system
  • All residential solar installations in Arizona

How to Apply

Get free help applying Visit Official Program Page Track this program

(602) 716-6843

A grant-savvy contractor in Prescott, AZ can handle the paperwork, inspections, and timelines so your funding releases on schedule. Getting matched is free.

You will likely need a contractor to apply

Projects like this almost always need a licensed contractor, and many grants ask for a written estimate as part of your application. Lining up a contractor in Prescott early keeps your application moving.

Get matched with a contractor

Each program sets its own contractor rules. Check the official program page for exact requirements.

Your application paperwork

Documents you will likely need

  • Your federal tax return for the year of the work (this benefit is claimed on your taxes, not through a separate application).
  • Proof you own and live in the home (deed, recent mortgage statement, or property tax bill).
  • A government-issued photo ID for every owner on title.
  • A written estimate from a licensed contractor for the work (many programs require this to apply).
  • A recent utility bill for the home (energy and weatherization programs use it to confirm service and usage).
  • The program's own application form, completed (use the official link or phone number on this page).
Download this checklist (PDF)

Requirements vary by program and locality. Confirm the exact rules on the official program page. We can help you prepare your paperwork, but you submit it yourself.

Deadline: Automatic exemption, no application required

Questions about this program?

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