If you’re considering solar or an EV, 2025 is your last real chance to claim major federal tax credits. Don’t wait.
The Big Beautiful Bill Just Changed Everything.
If you’re a homeowner or environmentally conscious taxpayer considering solar panels, electric vehicles (EVs), or energy-efficient home upgrades, here’s the blunt truth: federal tax credits are vanishing.
With the passage of the One Big Beautiful Bill in July 2025, many of the most valuable clean energy tax credits have been reduced, phased out early, or eliminated altogether. This makes 2025 the last full year to lock in savings on big purchases like solar panels or EVs.
Whether you’re in New York, Georgia, or anywhere in the U.S., the effects are the same. These are national changes, and they impact homeowners, business owners, and regular taxpayers alike. If you’re in a high-cost, high-tax area like Hempstead, NY, these incentives helped level the playing field. Now? It’s a race against time.
Here’s What’s Going Away:
Residential Clean Energy Credit (30%) Ends December 31, 2025
That 30% credit on solar panels, battery storage, and geothermal systems? Gone after this year unless your system is fully installed and placed in service by December 31, 2025. This credit has saved families tens of thousands of dollars. Without it, you’re footing the entire bill yourself.
Energy-Efficient Home Upgrades Lose Support
Thinking about upgrading your HVAC, windows, insulation, or adding smart home energy tech? The credits that made those improvements more affordable are being phased out. That means higher costs for home improvements with no federal offset.
EV Tax Credits Slashed or Ending
The federal EV credit of up to $7,500 is on the chopping block. Vehicles must meet strict U.S. content rules and be purchased by the end of 2025. After that, most EVs will no longer qualify. If you were planning to go electric to save money and the planet, your incentive window is closing.
Why This Matters for Taxpayers
These credits were more than just perks—they were powerful incentives that helped average families make smart, future-focused decisions. Now that they’re going away, it’s going to be a lot harder to justify $30K–$45K solar installs or buying a more expensive EV without help.
As a tax preparer, I used to confidently tell my clients: “If you go solar, you’ll get 30% back on your return.” Or, “An EV purchase could save you thousands at tax time.”
Now? That toolbox is being emptied.
That means:
- Fewer deductions and credits to reduce your tax liability
- Fewer proactive strategies to offer my clients
- More out-of-pocket cost for eco-conscious upgrades
And for the planet? It’s not good news either.
Act Now, or Pay the Full Price Later
If you’re on the fence, it’s time to jump off. Whether you’re looking to:
- Install solar panels
- Buy an electric vehicle
- Upgrade your home’s energy efficiency
…you need to act before December 31, 2025 to lock in the maximum federal benefit.
Many solar installers are already reporting scheduling backlogs. Some EV models are already selling out. As the deadline approaches, expect demand to surge and availability to shrink. If you’re thinking about it, get on someone’s calendar now.
How Much Could You Lose?
Let’s say your solar install costs $35,000. Under current rules, you’d get a $10,500 tax credit. Miss the deadline? That $10,500 is gone. You’re paying the full amount out-of-pocket. Same story with EVs. Many clients who’ve taken the credit said it was the difference between leasing and owning.
And once these credits are gone, they’re likely gone for good. The new bill doesn’t sunset them—it repeals them. There’s no guarantee Congress will bring them back.
Don’t Wait Until the End of the Year
Tax planning isn’t just for April. In 2025, it’s also about beating the clean energy deadline.
- Talk to a licensed contractor now
- Request solar quotes ASAP
- Research EV models that still qualify
- Call your tax preparer to estimate savings
This is your window to make it happen.
Final Take: Don’t Let This Moment Pass You By
This isn’t fear-mongering. It’s the reality of the new tax landscape.
As your trusted tax professional, I’m here to help you understand the implications, calculate the potential savings, and make an informed decision. But time is short. Let’s talk now before this window closes.
Need help? Schedule a consult or tax planning session today. I’ll walk you through your options and help you get every dollar you deserve—before it disappears.
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