Subject: Tax Breaks for alternate energy

From: [email-masked]
Date: 18 Oct 1996 05:58:00 -0700

Tax breaks are a very useful way to get industries started or build public acceptance.
Here in Arizona, a generous tax break was available until '84.
Unfortunately the market was flooded with scams that sold marginally useful 
equipment to uninformed homeowners. The tax credits put the burden on the public
at large. 
Costs were greatly inflated. In Arizona, tracking parabolic collectors are overkill.
But they are common. Flat plate collectors with a 30 gallon storage tank etc.
 Finally the tax credit was withdrawn and few were sorry. The legitimate solar 
contractors were nearly driven out of businessby the scams. Some start-up 
contractors never got a chance.
The end result is any future tax breaks will have to be better regulated.

Jim Sullivan

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From: [email-masked] (PVCAD, Inc.)
Date: 18 Oct 1996 20:01:04 -0700

>Jim Sullivan

Tax breaks are back to a limited extent in Arizona:

1. A 20% tax credit from the state for the first $5,000 cost for qualifying solar
   energy devices, thermal and photovoltaic.  Must be purchased from a registered
   dealer and meet the requirements specified by the Arizona energy office.  Specific
   warranties required.

2. Qualifying solar energy devices, thermal and photovoltaic, are also exempt from
   state sales tax for the first $5,000.  Same quality requirements.  Also free of some
   county sales taxes (if based on state definations), but some cities still apply their
   1-2% local tax.

So far there are no complaints of scams this time around.

Bill Kaszeta