On August 15, Treasury and the IRS eliminated the 5% Safe Harbor for most solar and wind projects. Only the Physical Work Test remains (with a limited exception for small solar). These changes create a two-week window before the new rules take effect on September 2, 2025. In this video, we break down how Notice 2025-42 will affect solar and wind projects starting on September 2, 2025, which projects continue to qualify for the 5% Safe Harbor Continuity rules, and approaches to satisfy the Physical Work Test.