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This article presents a two-stage T-type hybrid five-level transformerless inverter (TLI) for grid-connected photovoltaic (PV) applications. The proposed T-type hybrid five-level inverter and its level-shifted pulsewidth modulation scheme offers reduced leakage current by eliminating the high-frequency variations and sudden transitions in the voltage across PV parasitic capacitance CPV and a path for the negative current in all the modes of operation under unity and nonunity power factor conditions of the grid without degrading the waveform quality. Moreover, in this article, the proposed inverter is integrated with a traditional three-level boost converter (3LBC) for boosting the lower PV voltage to higher dc-link voltage and also to extract maximum power from the PV source. The 3LBC provides high efficiency and reduced input inductor size for the same power rating over the conventional boost converter. The simulation results of the proposed system are presented using MATLAB software, and a 500-W experimental prototype is constructed and tested in the laboratory to validate the feasibility of the proposed configuration. Finally, a comparison of the proposed inverter with other five-level TLI topologies is presented to highlight its merits. [ABSTRACT FROM AUTHOR]