2025 Missouri Solar Rebates & Tax Credits: What’s Still Available — And How to Claim It

Federal rules have changed, and solar tax credits are sunsetting early. But the financial benefits of going solar in Missouri still pencil out, especially this year.

If anything, the early phase-out of federal tax credits, combined with strong local programs, make now the best time to go solar.

This guide covers the rebates, utility programs, and business incentives that make solar a profitable investment, along with step-by-step instructions for claiming your incentives. It’s relevant for Missouri homeowners and businesses in Ameren and municipal utility territories.

For a primer on how panels work and your installation options, consider skimming our specialty pages:

• Residential solar
• Commercial solar

Otherwise, here’s what’s in store below:

Table of Contents

• How much do rebates really save?
• The federal solar tax credit (ITC)
• State and utility rebates in Missouri
• Net metering and QF tariffs in Missouri
• Financing options for homes and businesses
• How to claim everything (step by step)
• FAQ

How Much of a Difference Do Solar Rebates Make?

The first thing to note about estimating the value of solar incentives is that quotes vary by equipment, property and installer. The size of the incentive often scales with the system’s cost or power output.

For a Missouri homeowner, the average 5 kW (kilowatt) home solar system in Missouri’s average price range will run over $10,000 before incentives.

However, the Residential Clean Energy Credit currently provides 30 percent of the cost of new qualifying clean energy systems installed from 2022 through 2032—potentially reducing the net cost by thousands of dollars, depending on the system’s total price.

For a small business, a typical 50 kW rooftop solar system often represents a low six-figure investment. With the 30% federal Investment Tax Credit (ITC), that can translate into $30,000–$45,000 in tax savings, significantly reducing the upfront cost.

After adding in local rebates, businesses and homeowners alike see a far faster payback period than an unincentivized installation.

So, why the added urgency? Let’s look at the federal tax credit rules and what changed in July 2025.

The Federal Solar ITC and PTC

The One Big Beautiful Bill Act (OBBBA), signed into law on July 4, 2025, accelerates the phase-outs of certain clean energy credits and introduces timing rules for construction start and placed-in-service dates.

• Homeowners can claim:
  • Residential Clean Energy Credit worth 30 percent of the total cost using IRS Form 5695.
    • This lump sum investment tax credit (ITC) ends for systems installed after December 31, 2025.
• Businesses have access to:
  • An ITC worth 6–30 percent of costs filed with IRS Form 3468.
  • A Production Tax Credit (PTC) instead of the ITC, which pays 0.3–2.75 cents per kWh generated
  • To qualify:
    • Construction must begin by July 4, 2026 or the system must be placed in service before 2028.
    • Projects must meet federal labor standards for wages and apprenticeships.
    • Certain equipment rules apply under the foreign entity of concern (FEOC) guidelines.

With federal basics in place, the next step is to check what your local utility offers.

State and Utility-Level Rebates in Missouri

Missouri doesn’t offer a statewide solar rebate. Instead, incentives come from city- and investor-owned utilities.

(Program rules are subject to change, so verify the terms before you commit.)

• City of Columbia:
  • Rebate of $500 per kW of installed solar capacity, plus a premium rebate for systems optimized for peak times.
• Ameren:
  • Ameren does not have a solar rebate at this time.
  • If rising rates are on your mind, solar can still help lower your bill.

Next, let’s talk about earning from the energy your system produces.

Net Metering and QF Tariffs in Missouri

Missouri’s Net Metering and Easy Connection Act allows solar system owners to earn credits off their utility bill for excess solar production.

For systems up to 100 kW: If you deliver more electricity than you use in a given billing period, the excess is credited at the utility’s avoided fuel cost (at a minimum). Credits expire after 12 months.

For systems over 100 kW: Utilities use qualified facility (QF) purchase tariffs. Under a QF agreement, there is no monthly netting. Any energy you deliver to the grid is purchased at the tariffed QF buy rate.

Rates vary, so consult your utility for specific net metering estimates.

Financing Options

A good financing fit can be as important as the equipment choice. Compare total cost, payment timing and interest across these common paths.

• Solar loans through clean energy lenders
  • Solar-specific loans are designed to make clean energy upgrades more affordable, and they are available from lenders such as Clean Energy Credit Union.
• Property Assessed Clean Energy (PACE)
  • Commercial and select residential areas can use PACE to finance energy projects with no money down and a long fixed term.
  • Repayment is made through a property tax assessment, typically over a period of 10 to 20 years.
  • Missouri resources include Show Me PACE and MCED.
  • Availability varies by city and county.
• Home-equity lines of credit (HELOCs)
  • HELOCs are popular options for home improvements that raise property value (like solar installations).
  • They often offer flexible loan terms and competitive rates.

Step by Step: How to Claim Missouri Solar Rebates and Credits

1. Collect quotes. Compare equipment options, warranties and production estimates. If you are in St. Louis, this curated list can help you evaluate contractor quality: best electricians in St. Louis.
2. Confirm incentives. Verify your eligibility for the federal credit, local rebates and utility rules for your address.
3. Apply for incentives early. Eligibility rules and funding levels may shift over time. Acting now helps you avoid shifting requirements and secure the available benefits.
4. Install and interconnect. Your installer handles permits and utility interconnection. For systems up to 100 kW, you’ll sign a net-metering agreement. For larger systems, you’ll use a QF agreement.
5. Claim the federal credit.
   • Homeowners. File IRS Form 5695 with your 2025 return for systems placed in service by December 31, 2025.
   • Businesses. File IRS Form 3468. Begin-construction and placed-in-service timing under the July 2025 law. Coordinate with your CPA.
6. Pick a financing fit. Compare a clean-energy loan, PACE or a HELOC based on cash flow and interest rates. Ask about fees and prepayment rules.
7. Monitor savings. Track production and net-metering credits.

Switch to Solar With Brda Electric

Missouri still offers a solid incentive stack. Homeowners and businesses can still access a large, but soon-expiring, federal credit. Businesses can layer in REAP and PACE to improve cash flow. Utility programs and net metering add extra value to sweeten the deal.

If you want maximum savings, move early. Schedules, tariffs and funding can change without much notice.

When you’re ready, get a fast quote from Brda Electric and lock in the incentives that apply to your project!

FAQ About Solar Rebates in Missouri

Does Missouri still offer full retail net metering for new solar customers?

Net metering rates depend on your location. While some utilities offer full retail rates, others only offer credits for the supply portion of their bill.

Can I stack incentives in Missouri?

Often, yes. Homeowners can pair local rebates with the federal credit, subject to the rule that the tax credit is calculated after rebates. Businesses can stack REAP with tax incentives, subject to program terms and tax limits. Confirm details with a tax professional.

Do I qualify for rebates if I lease my system or use a PPA?

Leases and power purchase agreements change who owns the system and who claims tax credits. Some utility rebates may still be available, but tax credits typically go to the property owner. Read the fine print and consult with your installer.

Can businesses still claim the federal solar tax credit?

Yes, for now. The July 2025 law accelerates phase-outs for some credits and tightens timing. If your project is in planning, lock in milestones now and coordinate with your CPA.

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