Claiming the Clean Vehicle Credit: A Step-by-Step Guide

🚗The clean vehicle credit offers up to $7,500 for new electric vehicles and $4,000 for used ones.

💰To claim the credit, your modified adjusted gross income must be below certain limits based on your filing status.

📝File Form 8936 to claim the clean vehicle credit. It consists of two parts: the main form and Schedule A.

🧩Schedule A provides details about the vehicle and calculates the credit amount. Fill out a separate schedule for each vehicle.

💡The credit is non-refundable and can only be used to reduce your tax liability.

What is the clean vehicle credit?

—The clean vehicle credit is a non-refundable tax credit for purchasing electric vehicles. It offers up to $7,500 for new vehicles and $4,000 for used vehicles.

Who is eligible to claim the clean vehicle credit?

—Taxpayers with a modified adjusted gross income below $300,000 (married filing jointly), $225,000 (head of household), or $150,000 (others) are eligible to claim the credit.

How do I claim the clean vehicle credit?

—To claim the clean vehicle credit, you need to fill out IRS Form 8936. It consists of two parts: the main form and Schedule A. Provide the required information and follow the instructions.

Can I claim the clean vehicle credit for multiple vehicles?

—Yes, you can claim the credit for multiple vehicles. However, you need to fill out a separate Schedule A for each vehicle.

Can I get a refund if the clean vehicle credit exceeds my tax liability?

—No, the clean vehicle credit is non-refundable. It can only be used to reduce your tax liability. Any unused credit cannot be carried forward or refunded.

00:00The video shares information about the clean vehicle credit and its updated form.

00:47A link to the original video describing the credit is provided.

00:51The clean vehicle credit is a non-refundable tax credit for purchasing electric vehicles.

01:29To claim the credit, your modified adjusted gross income must be below certain limits based on your filing status.

03:19IRS Form 8936 is used to claim the clean vehicle credit. It consists of two parts: the main form and Schedule A.

03:57Schedule A provides details about the vehicle and calculates the credit amount.

05:03The video provides examples of how to fill out the form for different scenarios.

06:58If you have any questions, additional information and resources are provided in the video description.