As the push for renewable energy accelerates, so does the urgency to act. Two major federal incentives—the electric vehicle tax credits and the Residential Clean Energy Credit—are now set to expire under the newly passed One Big Beautiful Bill Act. Whether you're looking to electrify your vehicle or power your home with clean energy, the window to take full financial advantage is quickly closing. Here’s what you need to know—and why you should act before the end of 2025.
Urgent: Want an Electric Vehicle? Act by September 2025
If you’re planning to buy an electric vehicle (EV) for personal or business use, time is of the essence. As of July 4th, the newly signed One Big Beautiful Bill Act officially ends three major EV-related tax credits after September 30th, 2025:
Section 45W – Commercial Clean Vehicles Credit: Up to $7,500 for light commercial EVs and up to $40,000 for heavy-duty vehicles.
Section 30D – New Clean Vehicle Credit: Up to $7,500 for qualifying new EVs, provided they meet domestic battery and mineral sourcing requirements.
Section 25E – Previously Owned Clean Vehicle Credit: Up to $4,000 (or 30% of the purchase price) for used electric vehicles.
If you want to take advantage of these significant tax breaks, make your purchase and ensure eligibility before September 30th, 2025.
2025: Is This Your Last Chance to Claim the Solar Tax Credit?
If you’ve been thinking about installing solar panels or upgrading to other renewable energy systems, don’t wait—2025 is your last chance to claim the full 30% Residential Clean Energy Credit (RCEC).
What Is the RCEC?
This federal, non-refundable tax credit covers 30% of the cost of qualified systems, including:
Solar electric panels
Solar water heaters
Geothermal heat pumps
Small wind energy systems
It applies to both primary and secondary homes, and even rentals occupied by the taxpayer. However, landlords who do not live on the property are not eligible.
Why the Rush?
The One Big Beautiful Bill Act has moved the RCEC expiration date to December 31st, 2025. But don’t wait until the last minute—installation takes time. To claim the credit, your system must be fully installed and in service by the deadline, December 31st, 2025.
Bonus Tip: While the RCEC is non-refundable, any unused credit can be carried forward to future tax years.
Next Steps
These incentives represent meaningful savings. With deadlines looming, now is the time to act, plan, and take advantage of these opportunities before they’re gone for good. If you have questions, please feel free to reach out to the team at TrueBlaze.