RESIDENTIAL CLEAN ENERGY CREDIT.

SEC. 13302. RESIDENTIAL CLEAN ENERGY CREDIT.(a) Extension of Credit.—(1) In general.—Section 25D(h) is amended by striking “December 31, 2023” and inserting “December 31, 2034”. (2) Application of phaseout.—Section 25D(g) is amended—(A) in paragraph (2), by striking “before January 1, 2023, 26 percent, and” and inserting “before January 1, 2022, 26 percent,”, and (B) by striking paragraph (3) and by inserting after paragraph (2) the following new paragraphs:“(3) in the case of property placed in service after December 31, 2021, and before January 1, 2033, 30 percent, “(4) in the case of property placed in service after December 31, 2032, and before January 1, 2034, 26 percent, and “(5) in the case of property placed in service after December 31, 2033, and before January 1, 2035, 22 percent.” . (b) Residential Clean Energy Credit for Battery Storage Technology; Certain Expenditures Disallowed.—(1) Allowance of credit.—Paragraph (6) of section 25D(a) is amended to read as follows:136 STAT. 1947 “(6) the qualified battery storage technology expenditures,” . (2) Definition of qualified battery storage technology expenditure.—Paragraph (6) of section 25D(d) is amended to read as follows:“(6) Qualified battery storage technology expenditure.—The term ‘qualified battery storage technology expenditure’ means an expenditure for battery storage technology which—“(A) is installed in connection with a dwelling unit located in the United States and used as a residence by the taxpayer, and “(B) has a capacity of not less than 3 kilowatt hours.” . (c) Conforming Amendments.—(1) Section 25D(d)(3) is amended by inserting “, without regard to subparagraph (D) thereof” after “section 48(c)(1)”. (2) The heading for section 25D is amended by striking “energy efficient property” and inserting “clean energy credit”. (3) The table of sections for subpart A of part IV of subchapter A of chapter 1 is amended by striking the item relating to section 25D and inserting the following: “Sec. 25D. Residential clean energy credit.”. (d) Effective Dates.—(1) In general.—Except as provided in paragraph (2), the amendments made by this section shall apply to expenditures made after December 31, 2021. (2) Residential clean energy credit for battery storage technology; certain expenditures disallowed.—The amendments made by subsection (b) shall apply to expenditures made after December 31, 2022.