Commercial Solar Prepaid Leases: The Smarter Path to Clean Energy

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With time running out for business owners to take advantage of the expiring 30% solar federal tax credits, the pressure is on. Under the 2025 "One Big Beautiful Bill," businesses must begin construction by July 4, 2026, to lock in those traditional federal incentives.

Because "beginning construction" now requires documented physical work and complex compliance, we wanted to offer a new alternative that removes the deadline stress entirely: the IWS Commercial Solar Prepaid Lease.

Two Paths to 2026 Savings: Which One Fits Your Business?

Path 1: The Traditional 30% Tax Credit

This is the path for businesses that want full ownership and have the tax liability to use a large credit.

  • The Deadline: You must break ground and perform "physical work of a significant nature" by July 4, 2026. Meeting this "Safe Harbor" deadline is critical; if you miss it, your system must be 100% operational by December 31, 2027, or you lose the credit entirely.
  • The Complexity: You are responsible for navigating new 2026 IRS rules, including prevailing wage requirements and domestic content audits.
  • The Payoff: You claim the full 30% credit on your business tax returns.

Path 2: The IWS Solar Prepaid Lease (The "Hassle-Free" Alternative)

This is the path for businesses that want the savings of solar without the IRS paperwork or the July construction deadline.

  • No Monthly Solar System Payments: Pay your discounted portion once at the start and eliminate monthly solar payments. You’ll still receive a utility bill, but it will be significantly lower.
  • Instant 15%–20% Upfront Savings: We apply a 15%–20% discount immediately to your commercial solar installation—and select battery storage systems—so you don’t have to wait until tax season to benefit.

  • No Construction Deadlines: Because our third-party partners handle the tax incentives, you’re not exposed to the July 4 construction cliff or compliance burden.

  • $0 Monthly Solar Payments: You pay your discounted portion once at the start. After that, there are no monthly solar bills—ever.

Why the Prepaid Lease is the "Safety Net" for 2026 and Beyond

If your business cannot move fast enough to break ground by July, or if you simply don't want to deal with the liability of a federal tax audit, the solar prepaid lease ensures you still get a massive upfront discount.

Flexible Financing: Put Your Savings to Work Immediately

Even if you choose to finance the upfront cost of your Prepaid Lease, you are still ahead of the game.

  • A Smaller Loan: Because we apply the 15%+ discount to the sticker price immediately, the amount you need to finance is significantly lower than a traditional purchase.
  • Preserve Your Capital: By financing the prepayment, you keep your cash in your business while your solar savings "pay off" the loan.
  • Clean Transfers: Unlike a monthly PPA that can be a headache during a property sale, a prepaid system is viewed as a "paid-off" asset by future buyers. Even if you have a separate business loan, the solar agreement itself has no monthly payments, making it a major value-add for your property.

The Cost of Waiting is Rising

The time to start planning your commercial solar power installation is now, not just because of the July deadline, but because utility rates in Salt Lake City and the surrounding areas are projected to continue their upward trend.

Every month you wait is a month you are paying 100% of your power bill to the utility company at a premium. By locking in a Prepaid Lease today, you stop the bleeding and start compounding your savings. The sooner you start, the sooner those savings hit your bottom line.

Don't Let the Window Close

Whether you are aiming for the full 30% credit or want to secure the 15% instant discount through our solar prepaid lease, the time to start planning your commercial solar power installation is now. As the July deadline approaches, installation queues in Salt Lake City and across the Intermountain West will fill up fast.

Ready to see which option saves your business the most money?

Contact Intermountain Wind & Solar today for a custom side-by-side comparison of the 30% Tax Credit vs. our 15% Prepaid Lease.

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