Is the federal solar tax credit still available in 2026?

No. The federal solar tax credit for homeowners expired at the end of 2025. New home installations no longer qualify.

Does solar still make sense in NJ without it?

Yes. With a solar lease you pay $0 down, so you were never counting on a tax refund. New Jersey's state solar credits, no sales tax on solar, and a property-tax exemption keep your monthly cost around $90.

An installer is still mentioning a tax credit — is that legit?

Be careful. The federal credit for homeowners is gone as of 2026. If someone is quoting you a price 'after the tax credit,' they're using outdated numbers.

The Federal Solar Tax Credit Expired — What It Means for NJ

Updated June 2026

The short answer

The federal solar tax credit for homeowners expired at the end of 2025. New installations in 2026 don't qualify. But with a $0-down solar lease, you never needed that tax refund — your savings come from a lower monthly bill, locked in from day one.

Why It Doesn't Change the Lease Math

The old credit helped people who bought their solar system outright. With a lease, you don't buy anything — there's $0 down and no upfront cost. You simply pay a lower monthly rate for the power your panels make. So the credit going away doesn't change what you pay.

What Still Saves You Money in NJ

New Jersey gives credit for the clean energy your panels produce.
Your extra energy rolls over as a credit on your bill.
No sales tax on solar equipment.
Your property taxes won't go up.

Together these keep most NJ homeowners' total cost around $90/month. See your number on the free savings estimate.