Federal Energy & Infrastructure Tax Credits
Credit Type
Production
Tax Credit
Technology
Electricity
Eligibility
Wind, biomass, geothermal, solar, small irrigation, landfill/trash, hydropower, marine/hydrokinetic facilities
Base Rate
~$0.0055/kWh
Full Rate
~$0.0275/kWh
Bonus Adders
- Energy Community: +10%
- Domestic Content: +10%
Duration
10 years from placed-in-service date
Period of Availability
Construction must have begun before 1/1/2025. Replaced by §45Y for projects starting 2025+.
Transferable (§6418)
Yes
Key Limitations & Notes
- Cannot stack with §48
- Legacy credit (IRA-extended)
- Inflation-adjusted annually
Credit Type
Production
Tax Credit
Technology
Electricity
Eligibility
Technology-neutral: any facility generating electricity with GHG emissions rate ≤ zero
Base Rate
~$0.0055/kWh
Full Rate
~$0.0275/kWh
Bonus Adders
- Energy Community: +10%
- Domestic Content: +10%
- (stricter OBBBA sourcing rules)
- Nuclear Energy Community adder (new)
Duration
10 years from placed-in-service date
Period of Availability
Projects placed in service after 12/31/2024.
Wind/Solar: Construction before 7/5/2026 with 4-yr safe harbor, OR construction after 7/4/2026 and placed in service before 1/1/2028.
Other tech: Construction before 1/1/2036 with 4-yr safe harbor. Phasedown: 75% (2034), 50% (2035).
Transferable (§6418)
Yes
Key Limitations & Notes
- Cannot stack with §48E or §45Q
- Subject to FEOC restrictions (Taxpayer & Material Assistance)
- Inflation-adjusted annually
Credit Type
Investment
Tax Credit
Technology
Electricity /
Storage
Eligibility
Fuel cell, solar, geothermal, small wind, energy storage, biogas, microgrid controllers, combined heat & power
Base Rate
6% of
eligible basis
Full Rate
30% of
eligible basis
Bonus Adders
- Energy Community: +10 pp
- Domestic Content: +10 pp
- Low-Income: +10–20 pp
- (IRS allocation; wind/solar <5 MW)
Duration
Upfront credit on capital investment
Period of Availability
Construction must have begun before 1/1/2025.
Exception: Geothermal heat pumps eligible for construction beginning before 1/1/2035 (OBBBA extension).
Replaced by §48E for projects starting 2025+.
Transferable (§6418)
Yes
Key Limitations & Notes
- Cannot stack with §48E, §45, §45Y, §48C, or §45Q
- 5-year recapture per §50 (decreases 20%/yr)
- OBBBA eliminated the permanent 10% minimum ITC
- No inflation adjustment
!– §48E — ITC – Clean Electricity Investment (Tech-Neutral) –>
Credit Type
Investment
Tax Credit
Technology
Electricity /
Storage
Eligibility
Technology-neutral: facilities with GHG emissions ≤ zero, plus qualified energy storage properties
Base Rate
6% of
eligible basis
Full Rate
30% of
eligible basis
Bonus Adders
- Energy Community: +10 pp
- Domestic Content: +10 pp
- (stricter OBBBA rules)
- Low-Income: +10–20 pp
- (IRS allocation; wind/solar <5 MW)
Duration
Upfront credit on capital investment
Period of Availability
Replaces §48 for projects placed in service after 12/31/2024.
Wind/Solar: Construction before 7/5/2026 with 4-yr safe harbor, OR construction after 7/4/2026 and placed in service before 1/1/2028.
Other tech (e.g., storage): Construction before 1/1/2036 with 4-yr safe harbor. Phasedown: 75% (2034), 50% (2035).
Transferable (§6418)
Yes
Key Limitations & Notes
- Cannot stack with §48, §45, §45Y, §48C, or §45Q
- 5-year recapture per §50
- Additional 10-year recapture for FEOC effective control violations
- Subject to FEOC restrictions (Taxpayer & Material Assistance)
- No inflation adjustment
Credit Type
Investment
Tax Credit
Technology
Vehicles /
Infrastructure
Eligibility
EV charging and refueling property for ethanol, natural gas, hydrogen, biodiesel
Base Rate
6% of
property cost
Full Rate
30% of
property cost
Bonus Adders
N/A
Duration
Upfront credit
Period of Availability
Must be placed in service between 1/1/2023 and 6/30/2026 (OBBBA shortened from 12/31/2032).
Transferable (§6418)
Yes
Key Limitations & Notes
- Must be in eligible low-income or rural census tract
- Capped $100K/item
- Recapture if property ceases eligibility
Credit Type
Production
Tax Credit
Technology
Electricity
Eligibility
Electricity from qualified existing nuclear power facilities
Base Rate
0.3¢/kWh
(subject to
phase-out)
Full Rate
1.5¢/kWh
(subject to
phase-out)
Bonus Adders
N/A
Duration
2024 through 2032
Period of Availability
Electricity produced and sold through 12/31/2032.
Transferable (§6418)
Yes
Key Limitations & Notes
- Phase-out as market price rises
- Gov't zero-emission subsidies reduce credit
- PWA not required for full rate
- After 12/31/2027: must certify nuclear fuel not sourced from covered nations
- Subject to FEOC/PFE restrictions
- Inflation-adjusted
Credit Type
Production
Tax Credit
Technology
Electricity /
Industrial
Eligibility
CO₂ sequestration with geologic storage or enhanced oil recovery (EOR) within the U.S.
Base Rate
Pre-7/4/2025 facilities:
Sequest.: $17/ton
DAC: $36/ton
EOR: $12/ton
Post-7/4/2025 facilities:
$17/ton (all uses)
DAC: $36/ton
Full Rate
Pre-7/4/2025 facilities:
Sequest.: $85/ton
DAC: $180/ton
EOR: $60/ton
Post-7/4/2025 facilities:
$85/ton (all uses)
DAC: $180/ton
Bonus Adders
- N/A
- (OBBBA equalized rates across sequestration and EOR end uses)
Duration
12 years from placed-in-service date
Period of Availability
Facilities must begin construction before 1/1/2033.
Transferable (§6418)
Yes
Key Limitations & Notes
- Cannot stack with §45V, §45Z, §48, §48C, or §48E
- Min
- capture volumes apply
- 3-yr recapture if CO₂ leaks
- Subject to FEOC/PFE restrictions
- Inflation-adjusted for facilities placed in service after 12/31/2026
Credit Type
Production
Tax Credit
Technology
Fuels
Eligibility
Domestic production of clean transportation fuels incl. SAF. Must emit ≤50 kg CO₂e/mmBTU.
Base Rate
2025:
Non-aviation: $0.20/gal
Aviation: $0.35/gal
(× emissions factor)
2026–2029:
$0.20/gal (all fuels)
(× emissions factor)
Full Rate
2025:
Non-aviation: $1.00/gal
Aviation: $1.75/gal
(× emissions factor)
2026–2029:
$1.00/gal (all fuels)
(× emissions factor)
Bonus Adders
N/A
Duration
5 years
(2025–2029)
Period of Availability
Fuels produced after 12/31/2024 and used/sold before 12/31/2029 (OBBBA extended from 2027).
Transferable (§6418)
Yes
Key Limitations & Notes
- Cannot stack with §45V or §45Q
- From 1/1/2026: feedstock must be produced/grown in US, Mexico, or Canada
- Subject to FEOC/PFE restrictions
- Inflation-adjusted
Credit Type
Production
Tax Credit
Technology
Fuels
Eligibility
Clean hydrogen at qualified U.S. facility, tiered by lifecycle GHG emissions
Base Rate
Up to $0.60/kg
(varies by
emissions tier)
Full Rate
Up to $3.00/kg
(varies by
emissions tier)
Bonus Adders
N/A
Duration
10 years from placed-in-service date
Period of Availability
Must begin construction before 1/1/2028 (OBBBA accelerated from 1/1/2033).
Transferable (§6418)
Yes
Key Limitations & Notes
- Cannot stack with §45Q, §45Z, or §48C
- May elect §48 ITC instead
- Inflation-adjusted
- OBBBA significantly shortened eligibility window
Credit Type
Investment
Tax Credit
Technology
Manufacturing
Eligibility
Facilities manufacturing clean energy equipment, reducing industrial GHG emissions, or processing critical minerals
Base Rate
6% of eligible
investment
Full Rate
30% of eligible
investment
Bonus Adders
N/A
Duration
Upfront credit
Period of Availability
Competitive, application-based. Available until funding pool exhausted. Enhanced by OBBBA.
Transferable (§6418)
Yes
Key Limitations & Notes
- Cannot stack with §45X, §48, §48E, §45Q, or §45V
- Standard recapture per §50
- OBBBA: forfeited allocations cannot be reissued
- No inflation adjustment
Credit Type
Production
Tax Credit
Technology
Manufacturing
Eligibility
Domestic manufacturing of solar/wind components, inverters, battery components, critical minerals, and metallurgical coal (new via OBBBA)
Base Rate
Component-specific
(e.g., $35/kWh battery,
$0.07/W solar, 10%
critical minerals)
Full Rate
Same as base
(no PWA
requirement)
Bonus Adders
N/A
Duration
Other components: Phasedown from 2030 (75%→50%→25%→0%), sunset after 2032.
Wind: Sunset before 1/1/2028 (OBBBA accelerated).
Critical minerals: Phasedown from 2031 (75%→50%→25%), sunset after 2033.
Metallurgical coal: 2026–2029.
Period of Availability
Components produced 2023+. Wind components: must be sold before 1/1/2028 (OBBBA). Other components: before 1/1/2033. Critical minerals: before 1/1/2034. Metallurgical coal: 1/1/2026–12/31/2029.
Transferable (§6418)
Yes
Key Limitations & Notes
- Cannot claim at §48C-credited facilities
- No PWA requirement
- Not inflation-adjusted
- OBBBA: integrated components must be made in same factory with ≥65% US-sourced materials
- Subject to FEOC restrictions (Taxpayer & Material Assistance)
Credit Type
Production
Tax Credit
Technology
Fuels
Eligibility
Small agri-biodiesel producers (≤60M gal/yr) producing biodiesel from virgin oils
Base Rate
$0.20/gallon
Full Rate
$0.20/gallon
(no PWA
requirement)
Bonus Adders
N/A
Duration
Fuel produced and sold between 6/30/2025 and 12/31/2026
Period of Availability
Available for fuels sold between 6/30/2025 and 12/31/2026 (OBBBA extension).
Transferable (§6418)
Yes
Key Limitations & Notes
- Producer cannot exceed 60M gallons/year
- Must be from virgin oils
- Not inflation-adjusted
- New OBBBA-extended credit
Credit Type
Investment
Tax Credit
Technology
Vehicles
Eligibility
Commercial purchases of qualified electric and fuel cell vehicles
Base Rate
Up to 30% of
vehicle cost (or
incremental cost
vs. gas equivalent)
Full Rate
Same as base
(no PWA
requirement)
Bonus Adders
N/A
Duration
Upfront credit
Period of Availability
OBBBA accelerated phase-out timeline (originally through 1/1/2033, now shortened).
Transferable (§6418)
No
Key Limitations & Notes
- NON-TRANSFERABLE
- Cap: $7,500 (<14,000 lbs) / $40,000 (>14,000 lbs)
- Must be utilized by acquiring taxpayer