IRS Ends Multiple Tax Credits 2025-26 Affects Homes, Vehicles

The IRS has issued new guidance on the expiration of several key tax credits for energy-efficient home improvements and clean vehicles, effective between 2025 and 2026, following President Donald Trump's One Big Beautiful Bill Act. Homeowners and commercial property owners are urged to act quickly, as credits like the Energy Efficient Home Improvement Credit and the Residential Clean Energy Credit will no longer be available after 2025 or 2026 deadlines. Concurrently, the IRS is seeking public feedback on free tax filing options, including its Direct File platform, which is at risk of elimination despite serving nearly 300,000 taxpayers this year. The Treasury Department has been allocated $15 million to study alternatives that could allow up to 70% of taxpayers to file for free, with a report due to Congress by October 2025. To combat rising identity theft, the IRS also encourages taxpayers to obtain an Identity Protection PIN, a voluntary six-digit number that helps prevent fraudulent tax filings. These measures reflect the IRS’s broader efforts to modernize tax filing services and enhance taxpayer protection amidst significant legislative changes.