Italian Solar Incentives 2027: What Changes, and Why the 65% Does Not Apply
The 65% everyone is talking about concerns the ecobonus, and photovoltaic stays outside it. Here there is only one 2027 scenario — 36% — and that changes what you tell the customer.
Quick answer
Under current Italian legislation, from 1 January 2027 the deduction for residential photovoltaic falls from 50% to 36% on a primary residence and from 36% to 30% on other properties. On a €12,000 system for a primary residence that means going from €6,000 to €4,320 of deduction: €1,680 less, plus a year of electricity bills paid in full. The €96,000 cap per unit holds until 31 December 2027 and drops to €48,000 from 2028. Storage systems fall under the same benefit, including on existing installations, with an ENEA filing and VAT at 10%. The 2027 percentages are not final: they depend on the Budget Law approved by the end of December. Note one widespread misconception: the strengthened 65% ecobonus being discussed for 2027 does not cover photovoltaic, which stays under the general building bonus. To fall under the 2026 rates what counts is the cash basis, the date the transfer is ordered.
In solar the question "should I wait?" carries different weight than for other home improvements: here the customer is not only postponing a cost, they are postponing a saving. Every month of waiting is a month of electricity bills paid in full. In 2026 the energy case is joined by a real tax deadline — and a second step down in 2028 that almost nobody mentions.
"But isn't 65% coming in 2027?"
It is the question every installer has been getting since mid-September 2026, and the short answer is: not for photovoltaic.
The proposal under discussion concerns the perimeter of the ecobonus, the Italian deduction for energy efficiency of the building envelope and thermal systems: cladding, windows, heat pumps, hybrid systems, solar thermal, shading, building automation. Photovoltaic is not on that list.
Solar thermal is not photovoltaic. That is where the confusion starts. Solar thermal produces hot water and sits inside the ecobonus perimeter; photovoltaic produces electricity and falls under the building bonus, the deduction for building renovation. They are two distinct legal frameworks, and the 65% proposal touches only the first.
The practical consequence for installers cuts two ways. On one side the deadline argument still holds: for photovoltaic the only 2027 scenario under current law is 36%, there is no 65% on the horizon to justify waiting. On the other the question will come anyway, because the customer has read about the 65% somewhere — and whoever can explain the distinction in thirty seconds wins the conversation.
With one exception worth knowing: if the project also includes a heat pump, that portion would fall within the proposal. On a package combining photovoltaic and a heat pump the assessment has to be made line by line, not on the total. The full reasoning on mixed works is in renovation tax incentives 2027.
What are the 2027 rates under current legislation?
Deductions for residential photovoltaic follow the building-renovation rules. This is the comparison between expenses incurred in 2026 and those in 2027, under the rules in force today:
| Property | 2026 expenses | 2027 expenses |
|---|---|---|
| Primary residence | 50% | 36% |
| Other properties | 36% | 30% |
| Spending cap | €96,000 per unit | €96,000 (€48,000 from 2028) |
The deduction is recovered in ten equal annual instalments. For the rates still in force this year and the detail of available incentives, we have a dedicated guide to solar incentives in 2026.
What it means in euros. On a €12,000 system for a primary residence the deduction falls from €6,000 to €4,320. On €20,000 with storage, from €10,000 to €7,200. The customer does not care about the rate: they care how much comes back, and over how many years.
Does storage qualify? And what about VAT?
Yes, and these are two sales arguments many installers leave on the table. Storage systems fall under the same deduction as the system itself, and the benefit applies even when the battery is added to an existing installation: a concrete opportunity to go back to the customer base of previous years. A descriptive filing with ENEA is required.
In addition, renovation works that include photovoltaic with storage attract reduced VAT at 10% instead of 22%. On a €20,000 system that is €2,400 of difference, which almost no quote highlights as a line of its own.
Is the reduction certain?
No. The 36% and 30% are the automatic outcome if nothing intervenes: they are what the rules provide today, not a final decision. The Budget Law, debated in autumn and approved by the end of December, can confirm them, extend the current rates, or change the scheme.
For anyone selling systems the consequence is precise: you cannot promise a customer 36% in 2027, nor reassure them that 50% will stay. What you can say, and what is verifiable, is that whoever pays by December 2026 already knows their rate, while whoever waits will find out at the end of the year.
By when do you have to pay to fall under 2026?
Here sits the technical detail that decides the rate, and in solar it matters more than elsewhere: weeks pass between site survey, grid connection paperwork and installation, and many customers assume they will not make it. Often they will, because the cash basis applies: the expense is considered incurred when the payment is ordered, not when the system starts producing.
- The transfer counts, not the grid connection. A system installed in February 2027 still falls under 2026 if the payment was ordered by 31 December 2026.
- The order counts, not the debit. A transfer placed on 31 December falls under 2026 even if the value date is in January.
- It has to be a compliant transfer. Payment reference citing the legislation, tax code of the person claiming, VAT number of the installer. An ordinary transfer loses the deduction, regardless of the date.
Communicating these three points during the quote removes the objection "you will not manage it within the year anyway", which is why many November and December deals slip into January for no real reason.
What changes, in practice, for installers
The last quarter already concentrates the decisions of customers wanting to close within the year. This year the lever is stronger, but it genuinely expires: after 31 December the argument has to be rebuilt around whatever comes out of the Budget Law.
- The quote has to show three numbers, not one. Gross cost, net after deduction, and estimated annual saving on the bill. A system is an investment: presenting it as a price is the fastest way to get it compared on price alone.
- Your customer base is worth as much as new leads. Anyone with a system but no storage is an existing customer, already convinced of the technology, and storage is currently eligible. It is the cheapest campaign you can run.
- Campaigns have to be running now. In solar weeks pass between first contact and signature: start in December and you collect in January, when the lever has expired. We cover it in detail in cost per lead in solar.
How to say it without alarmism
A deadline used as pressure works badly: in solar the customer has already heard the end of incentives announced several times. What works is the comparison on their own numbers.
"The system with storage is €14,000. If the transfer goes out by December, you recover €7,000 over ten years. Under the rates planned for 2027 it would be €5,040: nearly €2,000 of difference, plus a year of full electricity bills. Next year's percentages are not decided yet — they could be extended — but today you know exactly what comes back. And to be clear: the 65% you may have read about concerns other works, not photovoltaic."
No promises and no invented deadline: a comparison between a certainty and an unknown, plus a cost accruing every month. It is also the only version that withstands the question "and what if they extend it?".
Note. This article is for information and commercial purposes and does not replace tax advice. The 2027 rates and the 2028 cap quoted are those set out in Italian legislation in force as of September 2026 and may change with the Budget Law. For a specific customer's case — combining incentives, ENEA filings, grid connection — the reference remains their accountant.
In summary
For photovoltaic, 2027 has only one scenario under current legislation: 36% on a primary residence, 30% on other properties, and in 2028 the spending cap halves. The 65% ecobonus being discussed concerns a different perimeter and does not apply here — being able to explain that is worth as much as knowing the rates. The final word comes with the Budget Law, and until then the only certainty belongs to whoever pays by 31 December 2026.
For an installer that means a quarter in which the tax lever is at its strongest and, immediately after, a gap to fill with something else. If you want to reach January with a flow of site surveys that does not depend on incentives, now is the time to build it: that is the work we do on marketing for solar installers.
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