Understanding ACA Tax Relief for Commercial Solar

Businesses can write off 100% of their solar investment in Year 1 through Accelerated Capital Allowance (ACA). This powerful tax incentive makes commercial solar even more attractive.

What is ACA?

Accelerated Capital Allowance allows businesses to write off the full cost of qualifying energy-efficient equipment against their taxable profits in the year of purchase, rather than over 8 years.

The Tax Benefit

For a business paying corporation tax at 12.5%, a €100,000 solar installation would result in a €12,500 tax saving in Year 1. Combined with the SEAI grant, this significantly reduces the net investment required.

Qualifying Equipment

• Solar photovoltaic (PV) systems
• Battery storage systems
• EV charging infrastructure
• Energy monitoring systems

How to Claim

ACA is claimed through your annual tax return. Your accountant will need documentation showing the equipment is on the SEAI Triple E Register. Sun Arc provides all necessary documentation for your claim.