Incentives available for residential photovoltaic systems can cover over 40% of system costs, significantly reducing the payback period.

Federal Tax Credit

The federal solar tax credit is a 30% credit off income taxes for solar energy systems installed before 12/31/2019, 26% for systems installed by 01/01/2021, and 22% for systems installed by 01/01/2022. For customers who lease their system, the federal tax credit is taken by the leasing company.
IRS form 5695 (information about residential PV on pages 3 & 4)

State Tax Credit

The Arizona state income tax credit is 25% and is capped at $1,000 per residence. The unused portion of the tax credit may be carried forward for up to five years. This credit must be shared with other qualifying solar devices. There is also a sales tax waiver for photovoltaic systems, so you pay no state sales tax on your system.
State Q&A
State form

State Property Tax Increase Exemption

Arizona state law dictates that your property taxes will not increase as a result of installing a photovoltaic system.
AZ state property tax law, see 42-11054.C.2

State HOA Law

Arizona State law A.R.S. § 33-439 protects private property solar access by nullifying Home Owners Association covenants restricting solar energy systems. See DSIRE website.