United States

Federal solar tax credit expiry

The 30% federal solar credit ended for expenditures after December 31, 2025, per P.L. 119-21 — what the repeal actually did and didn't change.

Request a Quote

When exactly did the federal solar tax credit expire?

For expenditures made after December 31, 2025. The repealing law, P.L. 119-21 (the FY2025 reconciliation act, enacted 2025-07-04), states the credit "shall not apply with respect to any expenditures made after December 31, 2025." The IRS's own plain-English version: "the credit is not available for any property placed in service after December 31, 2025."

Solar Panel Answers connects you with licensed local solar companies. We are not a solar contractor.

What years did the 30% rate actually apply?

2022 through 2025. The IRS states the credit "equals 30% of the costs of new, qualified clean energy property for your home installed anytime from 2022 through December 31, 2025." There was no scheduled step-down to a lower percentage before that date under the law as it existed before repeal — the older "steps down to 26% in 2033" language some sources still carry is now obsolete.

Does the payment date or the installation date control?

Installation date. §25D(e)(8)(A) treats an expenditure "as made when the original installation of the item is completed," and the IRS confirms the practical effect: installation completing after 2025-12-31 means the expenditure counts as made after that date, blocking the credit — even if a deposit or full payment happened earlier in 2025.

Can I still claim unused credit from before the deadline?

Yes, via carryforward — that part of the law was untouched by the repeal. A qualifying expenditure made before the end of 2025 still generates a credit, and any unused portion carries forward indefinitely to future tax years, though it stays nonrefundable.

Sources

3 cited

Repeal text and effective date: Congressional Research Service, Insight IN12611, Expiration and Carryforward Rules for the Residential Clean Energy Credit, 2025-09-25 (checked 2026-08-18).
IRS plain-English confirmation: IRS, Residential Clean Energy Credit (checked 2026-08-18).
Expenditure-timing rule: IRS FAQ FS-2025-05, 2025-08-21; CRS Insight IN12611, 2025-09-25 (checked 2026-08-18).

How it works

From “is it worth it?” to a number you can check

Start with your power bill

The kilowatt-hours you used over the last year is the number every honest quote is built from. Without it, any price is a guess.

See what the roof can actually make

Pitch, orientation and shade decide how much of that usage a system can realistically cover. This is the step door-to-door pitches skip.

Put the quotes on one basis

Cash, loan and lease are three different products. Compare system size and total price first, then compare the financing separately.

Matched with a licensed local company

The work is done by licensed local solar companies. We do not sell panels and we do not fit them.

How we work

What to expect from this site

Every figure here carries its source and the date it was checked.

Answer first, then the working

Each page opens by answering its own question in a couple of sentences, then shows the arithmetic underneath for anyone who wants to check it.

Ranges, not one confident number

Solar pricing moves with the roof, the state, the utility and the financing. A single national figure fits almost nobody, so we publish the spread our sources support.

We say when the maths does not work

A shaded roof on a low tariff can be a poor buy. That is a legitimate answer to the question and you will find it here rather than a reason to keep reading.

We are not the contractor

We do not sell panels and we do not fit them, so nothing here depends on you signing. Licensed local companies do the work.

Questions

Frequently asked

The questions homeowners actually ask before they sign anything.

Request a Quote

What's the exact deadline for the federal solar credit?

Expenditures made after December 31, 2025 no longer qualify. That's the statutory language of the repeal in P.L. 119-21.

Does 'expenditure made' mean when I paid, or when installation finished?

Installation completion, per §25D(e)(8)(A) — the IRS is explicit that an installation finishing after 2025-12-31 means no credit, regardless of when payment happened.

What law actually repealed the credit?

P.L. 119-21, the FY2025 reconciliation law commonly known as the One Big Beautiful Bill Act, enacted 2025-07-04.

Is there any way to still get the 30% rate now?

Only via carryforward from a qualifying expenditure made before the end of 2025 — the carryforward provision wasn't changed by the repeal. A new installation completing after 2025-12-31 does not qualify.

Get matched with a licensed local solar company

Request a Quote Call (833) 555-0176