Solar and Wind Energy Business Franchise Tax Exemption

Incentive Type: Industry Recruitment/Support
Energy, Technology
Eligible Sector:
Financial Incentive
Time Period:
FY 2015
Governing Body: Comptroller of Public Accounts
What’s it worth?: 100%

Businesses manufacturing, selling, or installing qualifying solar systems and devices may qualify for the Solar Energy Devices Business Franchise Tax Exemption status. Qualifying systems include:

  • Solar water heat
  • Solar space heat
  • Solar thermal electric
  • Solar thermal process heat
  • Photovoltaics
  • Wind energy

Businesses are not restricted to activities solely in Texas. The Form AP-204 must be used to apply for this exemption. The application requires the organization’s contact information and Tax ID. The Contact person’s name and information must also be included on the form. The completed form should then be mailed to the Texas Comptroller.