Article
One Big Beautiful Bill Act was signed into law on the Fourth of July
President Trump’s signature activates sweeping changes to sections 45Y, 48E and other IRA incentives
Jul 09, 2025 · Authored by Jiyoon Choi, Beckett Woodworth
The One Big Beautiful Bill Act (OBBBA) has cleared its final hurdles. On July 3, 2025, the House approved the Senate’s July 1 version without any changes in a close 218-214 vote, sending H.R. 1 to President Trump. The President signed it into law during a July 4 ceremony on the White House lawn. With his signature, the comprehensive tax, spending and energy package officially took effect on July 4, 2025.
For clean energy project developers, practitioners or future credit claimants tracking the Inflation Reduction Act, the next step is to understand how these statutory changes interact with existing guidance. Our earlier analysis of the Senate-passed version, complete with a side-by-side table of every significant clean energy credit, remains the best reference point. The main takeaways stay the same: developers now have a longer period to qualify for full incentives, prevailing wage compliance is no longer a cliff for fuel-cell ITC eligibility and several legacy phase-outs have been reset. Review the table to see exactly how your project timelines, basis models and contract language may need to be adjusted under the new law. Stay tuned for agency guidance in the coming months.
Although changes under OBBBA could affect your potential energy projects and IRA credits, you can plan your current or upcoming projects accordingly. Consult with Baker Tilly's specialists for the latest insights on energy tax credits and clean energy policies. We'll help you evaluate project impacts, document key construction dates and secure current IRA benefits before changes take effect. Reach out to an IRA specialist today.
Catch up on OBBBA updates
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Inflation Reduction Act Tax Credit Solutions
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Inside the One Big Beautiful Bill Act: A deep dive into its tax provisions
Your central source for in-depth analysis of the One Big Beautiful Bill Act. Stay informed with insights and commentary from our trusted leaders, featuring detailed articles on each tax provision and its implications.
The information provided here is of a general nature and is not intended to address the specific circumstances of any individual or entity. In specific circumstances, the services of a professional should be sought. Tax information, if any, contained in this communication was not intended or written to be used by any person for the purpose of avoiding penalties, nor should such information be construed as an opinion upon which any person may rely. The intended recipients of this communication and any attachments are not subject to any limitation on the disclosure of the tax treatment or tax structure of any transaction or matter that is the subject of this communication and any attachments.
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