What's actually available in California right now
No state income tax credit
Unlike some states, California has never offered a standalone state income tax credit for solar installations. Its incentive structure leans instead on property tax treatment, targeted battery rebates, and utility-level net billing credits. With your rebate total in hand, the combined loan and rebate timing tool shows the monthly payment on the amount you still need to borrow. If you're comparing California to a state with a state tax credit, remember that comparison isn't apples to apples.
The property tax exclusion is the broadest incentive
California excludes the added value your solar system gives your home from property tax reassessment, meaning your property tax bill doesn't rise just because your home is now worth more with solar installed. On a roughly $21,000 system, that translates to about $150 to $260 in avoided additional taxes per year. Per guidance from the California State Board of Equalization, the exclusion under Revenue and Taxation Code Section 73 applies to any system completed before January 1, 2027, and once granted, an exclusion lasts until the property next changes ownership, not just for a limited window. SB 710, signed into law in October 2025, locked in that completion-before-2027 rule rather than leaving the deadline open to further extension debate. One wrinkle worth knowing: if construction wasn't already underway as of January 1, 2026, the system needs to be fully completed, not merely started, before the January 1, 2027 cutoff to qualify. Run the numbers yourself with the property tax exemption savings calculator.
SGIP battery rebates are largely closed to general applicants
The Self-Generation Incentive Program funded meaningful battery rebates for years, but its general market, standard equity, and equity resiliency budgets closed to new applicants at the end of 2025. The only remaining active pathway as of 2026 is the Residential Solar and Storage Equity program, funded through AB 209, offering up to $1,100 per kWh of battery storage and $3,100 per kW of paired solar for income-qualified households, and paired with net metering or its successor rather than replacing it. Even that funding has largely been reserved, with new applications going to a waitlist. Check the low income program eligibility checker to see where you stand.
Net billing changes the math on batteries
California moved from traditional net metering to a Net Billing Tariff, commonly called NEM 3.0, in April 2023. Exported solar power is now credited at a lower avoided-cost rate rather than the retail electricity rate. This makes battery storage more financially important in California than in states that kept traditional net metering, since storing your own daytime production to use during expensive evening hours is now worth more than exporting it to the grid. Check your federal status with the federal ITC calculator for the complete picture.