This bill establishes two new tax credits in New Mexico: the School Solar Income Tax Credit and the School Solar Corporate Income Tax Credit, both aimed at incentivizing the installation of photovoltaic systems on public school properties and public post-secondary educational institutions. Taxpayers who install such systems can claim a credit equal to 40% of the installation costs or the appraised value of the system, with eligibility for the credits available until January 1, 2037. The total aggregate amount for both credits is capped at $300 million, with a maximum of $100 million available for certification in any calendar year prior to 2028.

To claim these credits, taxpayers must apply for certification from the energy, minerals, and natural resources department, providing proof of installation and compliance with safety and technical standards. The department will issue a certificate of eligibility if the requirements are met. Additionally, any portion of the tax credit that exceeds a taxpayer's liability can be refunded, and the credits can be transferred between taxpayers. The provisions of this act will apply to taxable years beginning on or after January 1, 2025.