The IRS on April 16 updated frequently asked questions in Fact Sheet 2024-14 to provide guidance related to the new, previously owned, and qualified commercial clean vehicle tax credits.
The newest FAQs supersede an earlier version posted in Fact Sheet 2023-29 on Dec. 26, 2023.
The FAQs revisions include:
- Topic A: Eligibility Rules for the New Clean Vehicle Credit: Revised Question 10.
- Topic B: Income and Price Limitations for the New Clean Vehicle Credit: Revised Question 11.
- Topic H: Transfer of New Clean Vehicle Credit and Previously Owned Clean Vehicle Credit: Revised Questions 5 and 15.
The Inflation Reduction Act made several changes to the tax credit provided in section 30D of the Internal Revenue Code for qualified plug-in electric vehicles, including adding fuel cell vehicles to the section 30D credit, known as the new clean vehicle credit. The 2022 law also added new credits for used EVs and FCVs under section 25E of the tax code (previously owned clean vehicle credit) and for businesses and tax-exempt organizations that buy commercial clean vehicles under section 45W of the tax code (qualified commercial clean vehicles credit).
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Tags: IRS, Legislation, Taxes
