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March 24, 2022
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Is there an income limit to claim electric vehicle (EV) federal tax credits?

  • March 24, 2022
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Is the US Congress debating to apply an income limit for EV tax credits and plan to set it at $800,000 for household?
Best answer by DavidD66

There currently is not income limitation in order to claim a federal EV Tax Credit.  The credit is not refundable, so if your tax liability isn't large enough to take the entire credit you will lose it.

 

A preliminary version of the Build Back Better bill had an income limit of $800,000 for EV credits.  The version of the bill that was voted on and failed had a $500,000 income limitation.

1 reply

DavidD66Answer
March 25, 2022

There currently is not income limitation in order to claim a federal EV Tax Credit.  The credit is not refundable, so if your tax liability isn't large enough to take the entire credit you will lose it.

 

A preliminary version of the Build Back Better bill had an income limit of $800,000 for EV credits.  The version of the bill that was voted on and failed had a $500,000 income limitation.

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