If you’ve been thinking about going electric or upgrading your home with solar panels or other energy-efficient improvements, now’s the time to act. Two major federal tax credits are set to expire, and missing the deadlines could mean missing out on thousands of dollars in savings.
EV Tax Credits End September 30, 2025
The federal electric vehicle (EV) tax credit, which provides up to $7,500 for new EVs and $4,000 for used EVs, will no longer be available after September 30, 2025.
To qualify for this credit:
- The vehicle must meet IRS and manufacturer requirements.
- A binding written agreement may need to be in place before the deadline.
- Some income limits and vehicle price caps apply.
If you’re considering buying or leasing an EV, you’ll want to act fast. Waiting too long could mean losing the opportunity to claim this credit altogether.
☀️ Residential Solar & Home Energy Credits End December 31, 2025
The Residential Clean Energy Credit, also known as the 25D credit, offers a 30% federal tax credit for qualified solar panel installations, battery storage, geothermal systems, and more.
Other Energy Efficient Home Improvement Credits (for things like heat pumps, efficient windows, insulation, and more) are also set to expire at the end of 2025.
To claim these credits:
- You must make the qualified payment or have the installation completed by December 31, 2025.
- Keep all documentation, including invoices, contracts, permits, and completion dates.
- Click to learn more.
What Should You Do Next?
Here’s how to take advantage of these expiring credits:
- Verify Eligibility: Make sure the vehicle or home upgrade you’re considering qualifies under the current IRS rules.
- Finalize Contracts Early: For EVs, the timing of purchase agreements matters. For solar and home improvements, get projects scheduled as soon as possible.
- Keep Good Records: Documentation will be essential when it’s time to file your taxes.
- Talk to a Tax Pro: Every situation is different. We can help you understand how these credits fit into your overall tax picture and what you need to do to claim them correctly.
Need Help? Let’s Talk
If you’re considering making a qualifying purchase or improvement and want to be sure you’re eligible for the federal tax credits, we’re here to help. Reach out to our team at Basso & Guida and we’ll walk you through what you need to know and do before time runs out.
