Since the Inflation Reduction Act became law in 2022, thousands of people across the country have taken advantage of tax credits to invest in clean energy alternatives to power their transportation, homes, businesses, congregations, schools, and more. It provided a huge boost to the industry, enabling it to scale up technology and manufacturing capacity, making clean energy more affordable, abundant, and accessible.
Fast forward to July 4, 2025, when President Trump signed the budget reconciliation bill (the so-called “One Big Beautiful Bill”) – and closed the door on all those opportunities for tax credits.
In the face of this regressive and dangerous about-face, we have a few things to say.
- First, we need to organize at the grassroots level to build power to ensure we have climate champions in decision-making positions at every level of government. Join us at GOTV Chutzpah phonebank shifts throughout the year to get out the climate vote.
- Second, we need to pivot our advocacy efforts to the state and local level, where there is still room for policymakers to craft and implement progressive climate rules.
- Third – for those of us who’ve been thinking about the joys of electrifying our life – this is the moment to take the leap! We still have time to take advantage of tax credits for electric vehicles, and energy-efficient home improvements.
- Fourth, do note that some states will continue to offer tax credits and rebates for investments in clean energy alternatives. Check with your state to see what is (and will be) available.
- Fifth, just because the federal credits are sunsetting doesn’t mean this technology will no longer be available. You will still be able to electrify your life in many ways. Clean energy remains the fastest, cheapest way to power our lives, and we are going to work to keep it that way through advocacy and action.
Legal and Tax Disclaimer: The following information is not legal, accounting, or tax advice tailored to any individual or entity. The information provided does not, and is not intended to, constitute legal advice; instead, all information, content, and materials provided are for general guidance purposes only. Please consult your attorney and your finance officer with questions about your specific situation.
And now… the details
Electric vehicle credits expire at the end of September 2025
Among the credits available for EVs:
- New Clean Vehicle Credit: $7500 for new qualifying EVs. (Limit on income: $300,000 for married, $150,000 for single.)
- Used Clean Vehicle Credit: $4000 for pre-owned qualifying EVs. (Limit on income: $150,000 for married, $75,000 for single.)
- Alternative Fuel Vehicle Refueling Property Credit: Up to $1,000 for installation of qualified EV charging equipment (in an eligible area).
Home Improvement credits expire at the end of the year
- The Energy-Efficient Home Improvement Credit can get you up to $2,000 for a qualifying heat-pump heater/air conditioner or heat-pump water heater, and separately, up to $1,200 on other energy-efficient upgrades (e.g., insulation and air-sealing materials, windows, and exterior doors). Total of $3,200 this year.
- The Residential Clean Energy Credit takes 30% of the cost of a clean energy installation off your federal tax bill, with the actual amount uncapped. This includes solar photovoltaic panels, solar water heaters, home battery storage, geothermal heat pumps, and even home wind turbines.
For more!
We partner closely with other organizations and efforts — within and beyond the Jewish community — to help bring the full strength and voice of the American Jewish community to local, national, and global movements. We are all more powerful when we work together.
For more on these topics we recommend these organizations and resources:
- The New York Times: Quick! Get the Wind and Solar Discounts Before It’s Too Late! (August 15)
- Evergreen Action: Here’s How Republicans’ New Federal Budget Affects You (July 8)
- Solar United Neighbors: What tax credit repeal means for going solar (July 14)
- Canary Media: Use it or lose it’: These clean-energy tax credits will be gone soon (July 18)