Biden-era clean energy credits are set to expire by the end of the year

How Trump budget law will impact green energy



How Trump’s budget law will impact green energy in the U.S.

08:06

The window to take advantage of clean energy credits is running out. 

After three years, the sun is setting on a series of tax credits aimed at lowering the cost of buying electric vehicles, as well as installing solar panels, heat pumps and other clean energy technologies in your home. 

That’s because, in July, Congress passed President Trump’s sweeping budget package, known as the One Big Beautiful Bill Act, which phases out the Biden-era clean energy subsidies earlier than originally outlined in the Inflation Reduction Act (IRA) under which they were established.

For example, the Residential Clean Energy Credit originally offered homeowners a 30% tax credit for installing rooftop solar, storage batteries and other qualifying clean energy systems through 2032. Under the new budget law, however, the deadline to install the technology has been moved up to Dec. 31, 2025.

Here’s a list from the U.S. Climate Alliance, a bipartisan coalition of governors, of additional tax credits that are still available under the IRA, along with the new deadline for eligibility. 

Keep in mind, there are limits to the total amount of credits you can claim. For example, the Energy Efficient Home Improvement Credit caps homeowner tax credits on clean energy upgrades at $3,200 per year, according to the Internal Revenue Service. There are also caps on individual items, such as a $250 cap on exterior doors and a $500 cap on the cost of multiple doors installed.

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