Quick answer
Usually not. Under the Illinois Property Tax Code (35 ILCS 200/10-10), a home with solar can be assessed at the lower of two values: as equipped with solar, or as if it had a conventional energy system. That keeps panels from raising your assessment. Homeowners generally claim it by filing form PTAX-330 with their county assessor.
How does Illinois assess homes with solar panels?
Section 10-10 of the Illinois Property Tax Code sets an alternate valuation for solar energy systems. The county assessor values the home twice: once with the solar system, and once as if it had a conventional heating, cooling or energy system instead. The lower of the two is used for your assessment.
In practice, that means adding rooftop panels shouldn't increase the assessed value of your home or your tax bill.
How do I apply for the Illinois solar property tax break?
- Get form PTAX-330, the Illinois application for the alternate valuation of solar energy systems, from your county assessor's office or its website.
- Fill in your property details and a description of the system. Your installer can provide the equipment list and installation date.
- File it with your county's chief county assessment officer and keep a copy.
- If you later stop using the system, the form tells you to notify the assessor in writing.
Filing rules and deadlines can vary by county, and bills have been introduced to make the valuation automatic, so check with your county assessor (Cook County homeowners: the Cook County Assessor's Office) about current requirements.
What does the solar property tax rule not cover?
- Equipment that works just as well in a conventional system, and parts that serve structural or other non-solar purposes
- Commercial solar systems in counties with fewer than 3 million people
- Your home's other improvements, which are assessed as usual
Will solar still raise my home's value if I sell?
Owned solar systems can make a home more attractive to buyers because they come with lower electric bills, and the property tax rule means you don't pay more tax in the meantime. Leased systems are different: the buyer has to qualify for and take over the lease, so check the transfer terms before you sign. See solar lease vs. buying in Illinois.
Sources
This guide is general information, not tax, legal or financial advice. Incentive programs change, so confirm current terms with your installer, your utility and a tax professional.