TL;DR: The 30% federal residential solar/battery tax credit expired December 31, 2025. No phase-down, no partial credit, no extension. For Utah homeowners installing solar or battery in 2026 and beyond, the federal tax credit is $0. What's still left: Rocky Mountain Power Wattsmart ($2,000 per qualifying battery) + Tesla Next Million ($500 per Powerwall) = $2,500 stack on Tesla Powerwall 3 installs. Federal EV charger 30C credit still active but expires June 30, 2026. Commercial ITC still phasing down on its own schedule.
What changed
The 30% federal residential solar Investment Tax Credit (commonly called "the ITC" or "the 30% credit") expired December 31, 2025, signed into law via the "One Big Beautiful Bill Act" in July 2025.
There is no phase-down period. There is no partial credit. The credit is just gone for residential installs in 2026.
This is materially different from how the ITC has historically wound down. Prior expirations were phased — 30% → 26% → 22% → 0 over multiple years, giving homeowners time to plan. The One Big Beautiful Bill Act eliminated that runway and ended the credit at the end of 2025 outright.
How customers react when we tell them
About 60% of homeowners who call us in 2026 still assume the 30% credit exists. They've seen older marketing materials, older blog posts, older YouTube videos, and the misinformation lifecycle on tax incentives is long.
We tell them straight on the first call. Some customers get frustrated. A few delay their project to "see if it comes back." It's not coming back this congressional term.
Who's still misleading customers
We've seen at least two Utah door-to-door competitors continuing to advertise "30% federal tax credit" in 2026 quotes. This is either willful misrepresentation or genuinely outdated training materials. Either way, customers should ask any installer — including us — to put the net cash price after all rebates in writing, with the rebate sources itemized.
Anyone who can't or won't itemize the rebate sources is hiding something.
The honest reframe — what's still available in Utah (2026)
For a Tesla Powerwall 3 install
- $2,000 Wattsmart rebate (Rocky Mountain Power Battery Program)
- $500 Tesla Next Million rebate (Tesla manufacturer-funded)
- = $2,500 total off net cost
Full breakdown in Stacking the Wattsmart + Tesla Powerwall Rebates in Utah ($2,500 Off).
For other batteries (Sigenergy, EG4, Ruixu)
- $0 in current rebates.
That's why our default recommendation is Tesla unless there's a specific technical reason (V2H for EV owners, big-solar EG4 fit, kWh-per-dollar budget). See The Best Home Battery in Utah for 2026.
For solar
- Utah net metering still active but at lower export credit rates than pre-2024.
- No state-level Utah solar tax credit (eliminated prior to 2026).
For EV chargers
- Federal 30C tax credit still active but expires June 30, 2026 — also cut short by the One Big Beautiful Bill Act.
- 30% of total installed cost, capped at $1,000 residential.
- Must be in eligible census tract. Check at anl.gov/esia/refueling-infrastructure-tax-credit.
Commercial ITC — still available
The commercial ITC remained at 30% for projects begun by January 1, 2026 and is currently phasing down on its own commercial schedule. For Utah businesses installing battery or solar on commercial buildings, the tax math is genuinely different than the residential side.
Commercial lease-to-own structures can also pass through commercial ITC benefits — a common path for businesses wanting battery backup without capital outlay. If you're a Utah business owner asking about battery backup for a commercial property, this is a different conversation than residential. Contact us for a commercial-specific consultation.
What this means for project timing
If you were holding off on solar or battery installation hoping the credit would return: it won't, at least not in this congressional term. The longer you wait, the longer you go without the savings from net metering (storing your own solar vs. exporting it for a fraction of retail rate) and without backup power during outages.
If you have an existing solar system and have been thinking about adding a battery: the stack of $2,500 on Tesla Powerwall 3 still exists. Adding a battery to existing solar is one of the cleanest financial moves a Utah solar owner can make in 2026.
If you're considering an EV charger install: you have until June 30, 2026 to lock the federal 30C credit. After that, similar to the ITC, it's gone.
Frequently Asked Questions
Is the federal solar tax credit still available in 2026?
No. The federal residential solar/battery tax credit (the 30% Investment Tax Credit, or ITC) expired December 31, 2025 per the One Big Beautiful Bill Act signed July 2025. There is no phase-down and no partial credit for 2026 residential installs. Anyone advertising a 30% federal credit in 2026 is either outdated or misleading customers.
Does Utah have a state solar tax credit in 2026?
No. Utah's state solar tax credit was eliminated prior to 2026. What Utah does have is utility-level rebates from Rocky Mountain Power (Wattsmart Battery program at $2,000 per qualifying battery) plus manufacturer rebates (Tesla Next Million at $500 per Powerwall). Together these stack to $2,500 off a Tesla Powerwall 3 install.
What about the federal EV charger tax credit?
The federal 30C tax credit for EV charging equipment is still active but expires June 30, 2026 — also cut short by the One Big Beautiful Bill Act. The credit is 30% of total installed cost capped at $1,000 residential. Must be in eligible census tract (check anl.gov/esia/refueling-infrastructure-tax-credit).
Is the commercial solar tax credit still available?
Yes. The commercial Investment Tax Credit remained at 30% for projects beginning by January 1, 2026 and is currently phasing down on its own commercial schedule. Commercial lease-to-own structures can also pass through commercial ITC benefits — a viable path for Utah businesses installing battery or solar on commercial buildings.
About the author
Batsaikhan(Bat) Ariun-Erdene is the owner of BYOP Electric, a licensed Utah Master Electrician (E200). More about Bat and BYOP Electric.
