For our August newsletter we wanted to highlight the following tax law changes which go into effect for tax year 2025.These are time sensitive and related to energy credits:

Electric Vehicle Tax Credit:

• Expiration: This tax credit is expiring as of September 30, 2025.
• What tax credit? The expiration of the tax credits includes the used vehicle tax credit, new electric vehicle tax credit and the commercial clean vehicle tax credit.
• Law through 9/30/25: Depending on the type of vehicle, your modified adjusted gross income and the business use of the vehicle you may have qualified for a clean vehicle credit.
• Law after 9/30/25: no more credit available.

Solar Tax Credit:

• Expiration: This tax credit is expiring as of December 31, 2025.
• What tax credit? The expiration of the tax credits include those associated with Solar, wind, geothermal, fuel cells or battery storage technology credits installed at your main home.
• Law through 12/31/25: Solar and battery storage systems installed and connected to the grid by 12/31/25 qualify for a 30% tax credit. This credit can be carried forward if not used in 2025.
• Law after 12/31/25: Solar and battery storage systems installed and connected to the grid beginning on 1/1/26 do not qualify for any tax credit.