MACRS (Modified Accelerated Cost Recovery System)

MACRS is a federal depreciation schedule that allows businesses to recover the cost of commercial solar equipment over a shortened time period. Solar projects qualify for accelerated depreciation, which lets companies deduct most of the system’s value from taxable income within the first five years.With bonus depreciation still available in many situations, MACRS can create large near term tax savings that strengthen cash flow and improve total project ROI.When combined with the ITC, MACRS is one of the most powerful financial benefits available to commercial solar customers in Texas.