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Federal Residential Clean Energy Tax Credit (25D)

IRS – Internal Revenue Service

Active – 30% through 2032, then steps down Federal Tax Credits

About This Program

The federal 25D Residential Clean Energy Credit provides a 30% tax credit with no dollar cap for qualifying renewable energy systems installed on a primary residence, including solar panels, solar water heaters, battery storage, and geothermal heat pumps. Excess credit carries forward to future tax years. Raleigh homeowners can stack this with NC Duke Energy solar rebates and net metering for maximum solar savings.

Example: $25,000 solar system installation yields $7,500 federal tax credit

Key Details

  • 30% federal tax credit – no maximum dollar cap
  • Covers solar panels, solar water heaters, battery storage, geothermal
  • Excess credit carries forward to future tax years
  • 30% rate in effect through 2032
  • Stack with NC solar rebates and Duke Energy net metering for maximum benefit

How to Apply

Deadline: Annual – claim on federal return for the year the system is placed in service

Find More Programs in Raleigh, NC

This is just one of many grants, rebates, and free programs available. Stack them together to maximize your savings.

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