Federal Residential Clean Energy Credit (ITC)

U.S. Internal Revenue Service (IRS)

Closed Home Repair

About This Program

Note: Congress ended this federal tax credit for installations after December 31, 2025. Projects placed in service by that date can still be claimed on your 2025 federal return (IRS Form 5695).

Homeowners who install qualified clean energy systems, solar panels, small wind turbines, battery storage (3 kWh+), geothermal heat pumps, or fuel cells, can claim a 30% federal tax credit with no dollar cap (except fuel cells). The credit is non-refundable but carries forward to future tax years. Available through December 31, 2025 under current law (2026 status pending legislation). Requires a Qualified Manufacturer ID Number (QMID) for qualifying property in 2025.

30% of $20,000 solar system = $6,000 federal tax credit. No cap except for fuel cells.

Official program page checked live on 2026-06-22.

Data last verified 2026-04-03. How we verify our data.

Key Details

  • 30% credit on solar, wind, battery storage, geothermal, and fuel cell systems
  • No annual or lifetime dollar cap (except fuel cells)
  • Non-refundable tax credit; excess carries forward to future years
  • Primary or secondary residence qualifies
  • Valid through December 31, 2025 under current law; QMID required in 2025

How to Apply

A grant-savvy contractor in Houston, TX can handle the paperwork, inspections, and timelines so your funding releases on schedule. Getting matched is free.

You will likely need a contractor to apply

Projects like this almost always need a licensed contractor, and many grants ask for a written estimate as part of your application. Lining up a contractor in Houston early keeps your application moving.

Get matched with a contractor

Each program sets its own contractor rules. Check the official program page for exact requirements.

Your application paperwork

Form to file: IRS Form 5695

This is a federal tax credit, not a grant you apply for. You claim 30 percent of the cost of a qualifying solar or clean energy system on your federal tax return using Form 5695.

Steps to apply

  1. Have your solar or clean energy system installed and pay for it.
  2. Keep the itemized invoice and proof of payment.
  3. Complete IRS Form 5695 and file it with your Form 1040 for the year the system was placed in service.
  4. If the credit is larger than your tax bill, carry the unused amount forward to next year.

Documents you will likely need

  • Itemized invoice from your installer showing the system cost.
  • Proof of payment.
  • Manufacturer certification statement for the equipment.
  • Your federal tax return (Form 1040) for the year of installation.

Requirements vary by program and locality. Confirm the exact rules on the official program page. We can help you prepare your paperwork, but you submit it yourself.

Deadline: Ended December 31, 2025 (federal law change)

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