Claim 100% of Your Solar Investment Back in Year One
Claim 100% tax relief on your solar PV system under Ireland’s Accelerated Capital Allowance. Save money, cut emissions, and invest smart with Irish Wind and Solar.
Claim 100% of Your Solar Investment Back in Year One
What Is the Accelerated Capital Allowance (ACA)?
The Accelerated Capital Allowance (ACA) is an Irish government-approved tax incentive that allows businesses to deduct 100 % of the cost of qualifying energy-efficient equipment in the first year of purchase.
It’s part of Ireland’s drive toward renewable energy adoption, administered by the Sustainable Energy Authority of Ireland (SEAI) in cooperation with the Revenue Commissioners.
For eligible businesses, the ACA effectively means you can write off the full cost of your solar PV system in year one, dramatically improving cash flow and payback.
Who Can Claim the ACA for Solar PV?
The ACA is available to:
- Farmers (sole traders, farm partnerships or limited companies)
- Sole traders in any industry
- Limited companies paying corporation tax
To qualify:
- The equipment must be new and unused
- It must be listed on the SEAI Triple E Product Register
- It must be used wholly and exclusively for business or agricultural purposes
How It Works – 100 % Write-Off in Year One
Ordinarily, capital allowances in Ireland are claimed over eight years (12.5 % per year). Under the ACA, however, you can claim 100 % of the investment in year one, reducing your taxable profits immediately.
Example:
| Description | Amount |
|---|---|
| Solar PV System Investment | €25,000 |
| Tax Allowance @ 100 % | €25,000 |
| Corporation/Income Tax Saving (12.5 – 40 %) | €3,125 – €10,000 |
This significantly shortens the payback period and improves your overall project return.
Why Solar PV Qualifies
Solar PV systems are listed under the SEAI’s “Renewable Energy – Electricity Generation” category on the Triple E Register. Eligible components typically include:
- Solar PV panels
- Inverters and mounting systems
- Energy meters
- Monitoring equipment
- Battery storage (where eligible)
- Associated fuses, isolators, and control gear
Benefits for Farmers
For farms, the ACA combines perfectly with grant schemes such as TAMS 3 (Targeted Agricultural Modernisation Scheme).
Advantages:
- Write off the entire solar investment in year one
- Reduce taxable profits and improve cash flow
- Lower on-farm energy bills
- Improve sustainability and meet future environmental standards
Benefits for Sole Traders & Companies
Commercial and industrial businesses can also take full advantage of the ACA.
- 100 % tax deduction in year one
- Strengthened sustainability credentials
- Lower operating costs
- Improved return on investment
The ACA makes solar PV a financially smart and environmentally responsible business decision.
How to Claim the ACA
- Choose eligible equipment – confirm your solar PV system components are on the SEAI Triple E Register.
- Purchase & install – complete installation and bring the system into use within the financial year.
- Keep documentation – retain invoices, certificates, and proof of installation.
- Claim the deduction – include the ACA in your annual tax return (CT1 for companies or Form 11 for sole traders/farmers).
- Consult your accountant – ensure correct submission and compliance.
Timing Is Key
Install your solar PV system before your financial year-end to ensure it qualifies for that year’s ACA deduction.
Doing so maximises your immediate tax benefit and helps you start saving on energy costs straight away.
Example Scenario
A business installs a €30,000 solar PV system in November 2025.
- Under the ACA, they can deduct 100 % (€30,000) from taxable profits that year.
- At a 20 % tax rate, that’s a €6,000 reduction in tax liability — plus energy savings and carbon reduction benefits.
Start Your ACA-Eligible Solar Project
At Irish Wind and Solar, we help farmers, sole traders, and companies across Ireland make the most of renewable energy incentives — including the Accelerated Capital Allowance.
We’ll handle everything from design and installation to confirming ACA eligibility and guiding you through the claim process.
Contact Us Today
Ready to claim 100 % of your solar investment in year one?
Reach out to our expert team for a free consultation and project assessment.
James