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Time is Running Out on the 30% Federal Solar Tax Credit

Rooftop solar panels installed on a home under a sunny sky, representing clean energy and renewable power.

If you’ve been thinking about adding solar to your home or business, there’s a new reason to stop thinking and start doing. A major federal incentive—the 30% solar tax credit—is ending for residential installations at the end of this year.

What Is the 30% Solar Tax Credit?

Right now, the Residential Clean Energy Credit, also known as the federal solar tax credit or Investment Tax Credit (ITC), allows you to deduct 30% of the total cost of a qualifying solar system from your federal taxes. For a typical $20,000 solar project, that’s about $6,000 in savings. 

Under new legislation signed into law on July 4, 2025, this credit will no longer be available for residential solar systems installed after December 31, 2025.

A Hard Deadline, Not a Phase-Out

That’s not a phase-out. It’s a hard stop. If your system isn’t fully installed and operational by the end of the year, you won’t qualify for the credit, no matter when you signed your contract or ordered your equipment.

That’s why acting now is critical. Solar projects require time for design, permitting, ordering materials, and installation. With this deadline creating a nationwide rush, supply chain bottlenecks and scheduling delays are likely.

Why This Matters for Homeowners

The 30% federal credit has been one of the most powerful incentives for going solar. Without it, the full cost of installation will fall on homeowners, and for many, that could mean waiting years for the same return on investment.

Starting your project now ensures you get the maximum financial benefit while still enjoying the long-term savings and energy independence that solar provides.

A Note for Businesses

Commercial property owners will still have access to certain solar incentives after 2025, but these programs are changing and may come with stricter requirements. Beginning your project now is the simplest way to secure today’s benefits and avoid potential future limitations.

How BYLTup Can Help You Beat the Deadline

At BYLTup, we’ve guided homeowners and businesses through successful solar installations for years. We know how to keep projects on schedule and ensure every step — from permitting to final inspection — is completed on time.

Our team will walk you through the process, keep things moving, and make sure you’re in the best position to claim your 30% credit before the opportunity disappears.

If solar has been on your list, this is the moment to make it happen. Contact BYLTup today to start your project and ensure your system is up and running before the December 31 deadline. Once the clock strikes midnight on New Year’s Eve, the 30% savings will be gone.

 
Sources: 
Trump and the Fate of the 30% Solar Tax Credit. July 2025. solar.com
The Washington Post. Why Homeowners Are Suddenly Rushing to Install Rooftop Solar. July 2025. washingtonpost.com
Sidley Austin LLP. The “One Big Beautiful Bill Act” – Navigating the New Energy Landscape. July 2025. sidley.com


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