Clean energy tax credits have helped many Americans reduce energy costs and afford home or vehicle upgrades. But those incentives are changing—if you made qualifying purchases in 2025, timing matters more than ever.
While some benefits remain, recent legislation has phased out or eliminated several clean energy credits. It’s important to understand what qualifies before filing your taxes.
Credits That Have Phased Out or Ended
In July 2025, the One Big Beautiful Bill Act (H.R. 1) altered multiple clean energy incentives:
- Electric vehicle tax credits are no longer available for vehicles purchased after September 30, 2025.
- Residential clean energy installation credits—including solar panels, heat pumps, and battery storage—do not apply to projects placed in service after December 31, 2025.
- EV charger installation credits will end June 30, 2026.
Credits are generally based on when the equipment was installed and ready to use—not when it was purchased or ordered.
For updates and eligibility details: IRS Home Energy Tax Credits
What This Means for Tax Filers
If you installed eligible equipment, purchased an electric vehicle, or made other qualifying improvements in 2025, you may still be able to claim a credit. Save important documentation, including receipts, installation records, and manufacturer certifications. These may be required to support your claim.
More details on claiming home energy credits: IRS Energy Efficient Home Improvement Credit
How to Claim a Clean Energy Credit
To claim your clean energy credit:
- Review eligibility on IRS.gov
- Complete required IRS forms (i.e., Form 5695 for residential energy credits)
- File electronically to speed processing time and reduce errors
Saver Tip
Tax credits directly reduce the amount you owe—they’re different from deductions. If your income changed in 2025 or you’re unsure whether you qualify, using trusted tax prep help or free filing resources can help ensure you don’t miss out on savings.
Even as clean energy incentives change, knowing the rules can still pay off this tax season.
