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Form 5695: Residential Energy Credits

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IRS Form 5695, Residential Energy Credits, is the federal solar tax credit form and the home energy efficiency credit form. Part I figures the Residential Clean Energy Credit: 30% of the cost of solar, small wind, geothermal, batteries of at least 3 kWh and fuel cells. Part II figures the capped Energy Efficient Home Improvement Credit for insulation, Energy Star doors and windows, heat pumps, water heaters and home energy audits. Both credits end with the 2025 tax year, so the 2025 form filed in 2026 is the last one for new installations. Results go to Schedule 3 (Form 1040), lines 5a and 5b. JustFill fills the official PDF in your browser; the first clean completed PDF download is included at no charge.

Form
Form 5695
Issued by
IRS
Country
United States
Free allowance
First clean download
Official edition
Form 5695 (2025) and Instructions for Form 5695 (2025), rev. Jan 22, 2026, with the IRS joint-occupancy correction of Jan 26, 2026
Source checked

What is Form 5695?

IRS Form 5695 calculates the residential energy tax credits that reduce what you owe when you make qualifying clean-energy or efficiency improvements to your home. JustFill makes it fillable in your browser. Part I handles the Residential Clean Energy Credit (30% of the cost of solar, wind, geothermal, fuel cell and battery systems, with no dollar cap except for fuel cells). Part II handles the Energy Efficient Home Improvement Credit (insulation, qualifying windows and doors, heat pumps, water heaters, furnaces, electrical panel upgrades and home energy audits, subject to annual limits of $1,200 plus a separate $2,000 for heat pumps and biomass systems). The credit flows to Schedule 3 and offsets your income tax. Both credits were terminated by the July 2025 law commonly called the One, Big, Beautiful Bill (Public Law 119-21): Part II is not allowed for property placed in service after December 31, 2025, and Part I is not allowed for expenditures made after that date, an expenditure counting when installation is completed. The 2025 form, filed in 2026, is therefore the last one for new installations; only a Part I carryforward continues.

Download the Form 5695 form PDF — free

The blank 2025 Form 5695 is a free four-page PDF from the IRS at irs.gov/pub/irs-pdf/f5695.pdf, with the separate instructions at irs.gov/instructions/i5695 (they contain the two credit-limit worksheets). Earlier years are at irs.gov/forms-pubs/prior-year: search for Form 5695 to get the 2024, 2023 or 2019 edition if you are amending an old return, because each year has its own lines and limits. Open the same blank in JustFill to type your costs and QMIDs on screen; the first clean completed PDF download is included at no charge. JustFill does not compute the credit-limit worksheets or file your return.

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Who fills out Form 5695?

  • Homeowners whose solar panels or solar water heater were installed and completed by December 31, 2025 (later installations no longer qualify)
  • People who added wind, geothermal, fuel-cell, or battery storage systems
  • Homeowners who upgraded insulation, windows, doors, or installed a qualifying heat pump
  • Anyone claiming the federal clean-energy or energy-efficiency tax credit on their 1040

Field-by-field breakdown

What each section of Form 5695 asks for. JustFill’s AI will detect these fields automatically when you upload the PDF — review the breakdown below so you know what to enter.

Part I — Clean Energy Credit

Costs of solar electric, solar water heating, wind, geothermal, fuel cell, and battery storage property.

Qualified costs

The amount you paid for each qualifying system, including labor for on-site installation.

Credit calculation

Multiplies your costs by 30% (line 6b); fuel cells are also limited by capacity on line 10. Line 14 limits the credit to your tax after other credits and line 15 goes to Schedule 3, line 5a.

Part II — Efficiency Credit

Section A: insulation, Energy Star exterior doors, windows and skylights in your existing main home. Section B: central air conditioners, gas, propane or oil water heaters and furnaces, electrical panel upgrades, home energy audits, and on line 29 heat pumps, heat pump water heaters and biomass stoves or boilers. For 2025 every door, window and Section B item needs the manufacturer's four-character Qualified Manufacturer Identification Number (QMID) on the form.

Annual limits

30% of cost, capped per year: $1,200 in total for Section A and most Section B items (within that, $250 per door and $500 for all doors, $600 for windows, $600 per appliance or panel upgrade, $150 for an audit) plus a separate $2,000 for heat pumps, heat pump water heaters and biomass systems, so the most Part II can give is $3,200.

Carryforward

Unused Part I credit carries forward: line 12 brings in the 2024 amount and line 16 carries the excess to 2026. Part II has no carryforward; whatever exceeds your tax that year is lost.

Common mistakes to avoid

  • 1Claiming costs for a property that is not your home, or for a rental you do not live in.
  • 2Including non-qualifying expenses. Installation labor counts for Part I and for Section B appliances but not for Section A insulation, doors or windows, and an untaxed utility rebate must be subtracted from the cost before you figure the credit.
  • 3Missing the annual dollar caps on Part II, or leaving out the Qualified Manufacturer Identification Number: from 2025 a door, window or Section B appliance without a valid QMID earns no credit, and items reported on the all-other lines need an attached statement listing each QMID and cost.

Form 5695 example — what a filled-out form looks like

A homeowner with no dependents had a rooftop solar system ($18,000) and a 13.5 kWh battery ($9,000) installed on their main home in 2025, and in the same year added an Energy Star heat pump ($7,500), attic insulation ($2,400), two Energy Star windows ($1,800 together) and paid $400 for a certified home energy audit. Their income tax on Form 1040, line 18 is $9,000 and they claim no other credits. All installations were completed before December 31, 2025.

Address above line 1, and line 1 (qualified solar electric property costs)

100 Sample St, Springfield, IL 62701 — $18,000

Includes installation labor and wiring. The 2025 form asks for the address of the home where the Part I property was installed.

Lines 5a and 5b (battery storage)

Yes — $9,000

The battery must have a capacity of at least 3 kilowatt hours; a No answer means no battery credit at all.

Lines 6a, 6b, 12 and 13

$27,000 — $8,100 — $0 — $8,100

Line 6b is 30% of the combined Part I costs. Line 12 is $0 because there was no carryforward on the 2024 form, so line 13 is $8,100.

Lines 17a to 17e (Part II eligibility)

Yes, Yes, Yes, same address, No

Existing main home in the United States, original user, expected to last 5 years, and nothing related to new construction. A No on 17a, 17b or 17c ends Section A.

Lines 18a and 18b (insulation)

$2,400 — $720

30% of the material cost only; installation labor is excluded for insulation, doors and windows. No QMID line exists for insulation.

Lines 20a to 20d (windows)

ABCD $1,000 and ABCE $800 (illustrative QMIDs) — line 20c $1,800 — line 20d $540

Each window needs the manufacturer's four-character Qualified Manufacturer Identification Number next to its cost. The windows cap is $600, so the $540 is allowed in full.

Lines 26a to 26c, then 27 and 28 (audit and the $1,200 cap)

Yes — $400 — $120; line 27 $1,380; line 28 $1,200

The audit credit is capped at $150. Line 27 adds insulation, windows and audit ($720 + $540 + $120) and line 28 cuts the total to the $1,200 annual limit.

Lines 29a to 29h (heat pump)

QMID and $7,500 on line 29a — line 29h $2,000

30% of $7,500 is $2,250, but heat pumps, heat pump water heaters and biomass systems share a separate $2,000 cap.

Lines 30, 31 and 32 (Part II result)

$3,200 — $9,000 — $3,200, entered on Schedule 3 (Form 1040), line 5b

Line 31 comes from the Part II credit-limit worksheet in the instructions ($9,000 tax minus the listed credits, none here). $3,200 is the most Part II can ever give in a year.

Lines 14, 15 and 16 (Part I result)

$5,800 — $5,800, entered on Schedule 3 (Form 1040), line 5a — $2,300 carried to 2026

The Part I worksheet subtracts the Part II credit from the $9,000 tax first, so only $5,800 of the $8,100 can be used this year. The unused $2,300 goes on line 16 and becomes line 12 of the 2026 form; Part II has no such carryforward.

These values are made up. They are here to show what belongs on each line, not to be copied — every name, number, and address on your own Form 5695 has to be your own.

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Frequently asked questions

Yes. The Residential Clean Energy Credit for solar panels and solar water heating is claimed in Part I of Form 5695: line 1 for solar electric and line 2 for solar water heating, at 30% of cost including installation labor and wiring. It applies only if the installation was completed by December 31, 2025.
Only the Part I Residential Clean Energy Credit carries forward: if line 13 exceeds the tax-liability limit on line 14, line 16 carries the excess to 2026, and the 2025 form keeps that line even though no new Part I expenditures qualify after 2025. The Part II Energy Efficient Home Improvement Credit cannot be carried forward.
You do not attach receipts, but keep them and the manufacturer certifications with your records in case the IRS asks you to substantiate the costs you claimed.
Download the 2025 Form 5695 PDF free from irs.gov/pub/irs-pdf/f5695.pdf and its instructions from irs.gov/instructions/i5695, then upload the blank into JustFill to type your costs and QMIDs on screen; the first clean completed PDF download is included at no charge.
Yes for 2025, no for anything installed later. The July 2025 law commonly called the One, Big, Beautiful Bill ended both credits: the Energy Efficient Home Improvement Credit is not allowed for property placed in service after December 31, 2025, and the Residential Clean Energy Credit is not allowed for expenditures made after that date, with an expenditure counted when the installation is completed. A system paid for in 2025 but finished in 2026 does not qualify. You claim 2025 installations on the 2025 Form 5695 filed with your 2025 return in 2026; the only Form 5695 line that continues after that is the Part I carryforward.
See the worked example above. In short: add your Part I costs, multiply by 30% (line 6b), add any 2024 carryforward (line 12), then limit the result to your tax after the other listed credits (line 14) and carry any excess to 2026 (line 16). For Part II, take 30% of each item, apply the per-item caps ($250 and $500 for doors, $600 for windows, $600 per appliance, $150 for an audit), cap that group at $1,200 (line 28), add up to $2,000 for heat pumps or biomass systems (line 29h), and limit the total to your tax (line 31). The Part I worksheet subtracts the Part II credit first.
The Qualified Manufacturer Identification Number is a four-character alphanumeric code the manufacturer gives you for each qualifying door, window, skylight, air conditioner, water heater, furnace, boiler, panel upgrade, heat pump or biomass stove placed in service in 2025. The form has a QMID box next to the most expensive item or items in each category; anything you report on an all-other line (19e, 20b, 22b, 23b, 24b, 29b, 29d, 29f) must be listed on a statement attached to your return giving each item's QMID and cost. Without a valid QMID the item earns no credit. Insulation and home energy audits have no QMID line.
Every prior edition is on the IRS prior-year page at irs.gov/forms-pubs/prior-year (the PDFs sit at irs.gov/pub/irs-prior/, for example f5695--2024.pdf). Use the form for the year the property was installed: older editions use different lines and limits, and the 2019 Part II credit had a lifetime cap instead of the annual caps that apply from 2023.

Official source: Form 5695 on IRS’s website

Edition checked: Form 5695 (2025) and Instructions for Form 5695 (2025), rev. Jan 22, 2026, with the IRS joint-occupancy correction of Jan 26, 2026. Verified against the official source on .

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