How do UK’s feed-in tariffs guarantee solar power users a tax free income?



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    The UK’s Feed-In Tariffs pay homeowners to produce renewable energy. The government provides a fixed income for individuals to pay for systems to produce renewable energy for themselves and pays a bonus to those who sell export their surplus energy back into the grid. The incentive was designed to help make renewable energy more affordable.

    The payments granted to participants are tax-free and are distributed for 20-25 years. This allows homeowners to not only pay off their renewable energy systems, but to have extra cash left over once energy is generated.


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