Tax Incentives
Residential Energy Property Credit: 25D Tax Credit
Expiration Date: The 30% credit for clean energy systems like solar panels, wind turbines, geothermal systems, and battery storage will now expire after December 31, 2025. This is a significant acceleration of the credit's termination compared to the IRA, which had scheduled a gradual phase-out througsh 2034.
No Phase-Out: Unlike the gradual reduction in credit percentage envisioned by the IRA, the OBBBA abruptly ends the 25D credit at the end of 2025, meaning homeowners installing systems in 2026 and beyond won't receive any credit.
System Installation Deadline: To qualify for the 30% credit, homeowners must have their eligible systems installed and operational by December 31, 2025.
