SolarEdge and Enstax Partner to Simplify Domestic Content Tax Compliance
MILPITAS, Calif. – SolarEdge Technologies, Inc., a global leader in smart energy technology, and Enstax, the parent company of racking suppliers PanelClaw, IronRidge, and EcoFasten, have collaborated with CPA firm Novogradac & Company LLP and Crux, the capital markets technology company for the clean economy, to streamline the process of navigating domestic content tax benefits for developers and business owners in the solar industry.
Background
The Inflation Reduction Act (IRA) of 2022, passed in August, brought significant changes to the tax incentives available for solar projects in the United States. One of these changes includes the requirement for projects to meet certain domestic content thresholds to qualify for the Investment Tax Credit (ITC) and Production Tax Credit (PTC).
The Solution
To help simplify the complex process of meeting these requirements, SolarEdge, Enstax, Novogradac & Company LLP, and Crux have teamed up to offer a comprehensive solution. This approach combines the expertise of SolarEdge and Enstax in solar technology and racking systems with the tax and capital markets knowledge of Novogradac & Company LLP and Crux.
Benefits for Developers and Business Owners
By partnering with these companies, developers and business owners will receive:
- A streamlined process for verifying domestic content compliance, reducing the time and resources required to complete the necessary paperwork.
- Access to a team of experts who can provide guidance on the tax implications of the IRA and the domestic content requirements.
- Integration with SolarEdge’s Monitoring Platform, enabling real-time tracking of domestic content compliance and project performance.
Impact on the Solar Industry
The collaboration between SolarEdge, Enstax, Novogradac & Company LLP, and Crux is expected to:
- Increase the adoption of solar projects that meet the domestic content requirements, contributing to the growth of the domestic solar manufacturing industry.
- Provide greater transparency and accuracy in reporting domestic content compliance, improving the overall integrity of the solar tax incentive program.
- Reduce the administrative burden on developers and business owners, enabling them to focus on project execution and financing.
Conclusion
With the passing of the Inflation Reduction Act, the solar industry is experiencing significant changes, including new domestic content requirements for tax incentives. SolarEdge, Enstax, Novogradac & Company LLP, and Crux have joined forces to offer a streamlined solution to help developers and business owners navigate these changes. This collaboration is expected to simplify the process of verifying domestic content compliance, provide access to expert guidance, and integrate with real-time monitoring, ultimately contributing to the growth of the domestic solar manufacturing industry and reducing administrative burden.
As the solar industry continues to evolve, partnerships like this one demonstrate the importance of collaboration and expertise in addressing the complex challenges faced by developers and business owners. By working together, these companies are helping to make solar energy more accessible and affordable for a wider audience while ensuring the integrity of the tax incentive program.
For more information on the solution and how it can benefit your solar project, please contact SolarEdge, Enstax, Novogradac & Company LLP, or Crux.
