The 30% Federal Solar Tax Credit Ended in 2025. Here's What Changed.

For almost two decades, the federal residential clean energy credit let homeowners take 30% of a solar or battery system's cost off their federal taxes. That ended with the One Big Beautiful Bill Act, signed July 4, 2025. Under the new law, the credit is not available for residential systems installed after December 31, 2025.

If your system was installed in 2025

You can still claim it. File IRS Form 5695 with your 2025 federal return and keep your contract, invoices, and the date your system was completed. Talk to a tax professional about your situation.

If you're going solar now

Buying with cash or a loan, there is no federal credit to factor in, so price the system on what it actually saves you on your electric bill, which is still the main reason solar and batteries pay off in the Inland Empire.

Leases and power purchase agreements work differently: the company that owns the system may qualify for a separate commercial credit, which is one reason lease pricing can come in lower than a purchase. Ask us which option makes sense for your home.

Other incentives

State and utility programs change often. When we quote your project, we'll tell you what's available for your address at that time.

See current financing and lease options →