AB 1817 of 2018 created an exemption from the sales and use tax for "qualified tangible personal property purchased for use by a qualified person to be used primarily in the generation or production, or storage and distribution, of electric power." The exemption also applies to contractors who purchase the equipment in the service of a contract with a qualified person. "Qualified person" is defined in the statutes. 

The exemption does not apply to the generation or production of electricity from nuclear energy, large hydro, or fossil fuels, except when used in cogeneration. However, the exemption does apply to the

Note: The Department of Energy Resources released a straw proposal in July 2024 stipulating several proposed changes to the SMART program, including the following: amendments to the energy storage and solar canopy adder, a new raised racking adder, no more separate adders for community shared solar and low-income community shared solar, specific discounts for customers under community solar project contracts, changes to capacity allocations for small and large solar projects, and a new fixed SMART incentive payment for small projects, among others. Draft regulations are expected to be filed sometime in Fall 2024.

The Solar Massachusetts Renewable Target (SMART) Program