IRC §25D · §45L · §45Q · IRA 2022

Renewable Energy + 45L + 45Q Credit Estimator

Three different credits, three very different rules. Residential clean energy, new energy-efficient homes, and carbon sequestration. Match yours below.

§25D Residential Clean Energy (homeowner)

Solar / wind / geothermal / battery install cost

Install year

§45L New Energy Efficient Home (builder / developer)

Units sold or leased in tax year

Per-unit tier

§45Q Carbon Oxide Sequestration (industrial)

Metric tons captured + sequestered (geologic)

Project tier (post-IRA, in service after 12/31/22)

Estimated Credit Total

§25D residential clean energy

$10,500

§45L new home credit

$50,000

§45Q carbon sequestration (10-yr period)

$85,000,000

§25D is non-refundable but carries forward. §45L is claimed on Form 8908. §45Q has 12-year crediting period from placed-in-service date and allows direct pay or transfer under IRA §6417/§6418 for eligible taxpayers.

Model your credit with our office

Inflation Reduction Act of 2022 expanded these credits. §25D phaseout: 30% 2022-2032, 26% 2033, 22% 2034. §45L IRC §45L(a)(2). §45Q IRC §45Q(b) post-IRA rates. Educational tool, not advice. Call 689-331-5723 or email info@zerofusstaxes.com.