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Rebates

The Federal Solar and Heat-Pump Credits Ended. Here's What Still Pays in 2026.

The 25C and 25D federal credits expired December 31, 2025. State rebates, utility programs, and VPP income still add up, if you know where to look.

Jameson SansoneFebruary 20, 20264 min read

The One Big Beautiful Bill Act ended the 25C (heat pump) and 25D (solar and battery) federal tax credits as of December 31, 2025. That raised the sticker price of going electric in 2026.

What still works

  • State-administered HEAR rebates (up to $8,000 for income-qualified households).
  • Strong state programs (for example, Massachusetts, New York, and Colorado).
  • Utility rebates and VPP payments, which vary by service territory.

The catch

The remaining incentives are more fragmented than the old federal credits, which makes a "what's available near me" tool more useful, not less.

Key takeaways

  • The marquee federal credits are gone; plan around net cost.
  • State, utility, and VPP dollars still meaningfully change the math.
  • Check current incentives by ZIP before you buy.

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