Side-by-side comparison of these two energy incentive programs. See which one offers better savings for your situation.
| Feature | Battery Storage Tax Credit | Residential Clean Energy Credit (Solar) |
|---|---|---|
| Type | Tax Credit | Tax Credit |
| Category | Solar | Solar |
| Amount | 30% | 30% |
| Max Amount | No cap | No cap |
| Level | Federal | Federal |
| Eligibility | Homeowners. Battery must have at least 3 kWh capacity. | Homeowners with federal tax liability. Must own the system (not lease). New or existing homes. |
| Applies To | Homeowners | Homeowners |
| Location | Nationwide | Nationwide |
| How to Claim | File IRS Form 5695. | File IRS Form 5695 with your federal tax return. Credit reduces your federal income tax dollar-for-dollar. Excess credit carries forward. |
| Expiration | 30% through 2032 | 30% through 2032, 26% in 2033, 22% in 2034 |
30% tax credit for standalone battery storage systems with 3+ kWh capacity. Can be paired with solar or installed independently.
Official source →30% federal tax credit for solar panel systems installed on primary or secondary residences. Covers solar PV panels, solar water heaters, battery storage (3+ kWh), and installation labor costs.
Official source →