What Happens to Solar Tax Credits After 2025? What Homeowners Need to Know
If you’re thinking about going solar, there’s one key deadline you need to know: December 31, 2025. That’s the projected cutoff for the 30% federal solar tax credit—one of the most powerful financial tools available for homeowners looking to reduce their energy bills and improve their energy efficiency.
At Greenify Energy Savers, we believe in helping our customers make informed, cost-effective energy decisions. Here’s what you need to know about the future of solar incentives—and why now is the smartest time to take action.
What Is the Federal Solar Tax Credit?
The Investment Tax Credit (ITC) allows homeowners to deduct 30% of the total cost of their solar panel system (including installation and equipment) from their federal taxes. This has made solar far more affordable for thousands of families across the country and continues to be one of the most compelling reasons to go solar.
Thanks to the Inflation Reduction Act, the 30% credit was extended through 2032. However, under current policy proposals—particularly those tied to budget changes and new energy legislation—that credit could end much sooner, possibly by the start of 2026.
What Could Change After 2025?
New federal proposals are pushing to phase out or eliminate clean energy tax credits, including those for residential solar. If passed, the credit could be:
Eliminated entirely for homeowners in 2026
Cut significantly for commercial and leased systems
Unavailable for systems not fully installed and operational by the end of 2025
In other words, waiting to install solar could mean losing access to thousands in potential savings.
Why This Matters for Homeowners
Switching to solar is already a strong long-term investment. Solar panels help reduce your electricity bills, protect you from rising utility rates, and increase your home’s value. When paired with the federal tax credit, the payback period is shortened, and your return on investment improves.
If the solar tax incentive is removed, future buyers will pay more out-of-pocket, with fewer savings upfront—making now the best time to take action.
Our Role in Your Energy Efficiency Journey
At Greenify Energy Savers, we don’t just install solar panels—we offer full-service energy efficiency solutions. Our team handles:
Site evaluation and custom system design
Permitting and installation
Help with applying for local and federal solar incentives
Home energy upgrades (insulation, smart thermostats, air sealing)
We’re committed to helping Utah homeowners make the most of their homes—and their budgets—before these valuable incentives disappear.
Don’t Miss the Deadline
The window for the 30% solar tax credit is closing. Systems must be installed and operational by December 31, 2025 to qualify under current proposals.
Get ahead of the curve and lock in your savings now. The earlier you start, the smoother the process will be—and the more you’ll save.
Ready to get started?
Contact Greenify Energy Savers today for a free consultation. We’ll help you build an energy-efficient home powered by the sun—before the opportunity fades.
*Greenify Energy Savers does not help or advise homeowners in their tax preparation. We do provide the document to look out for and best practices in regards to that.
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