{"id":4288,"date":"2023-04-10T13:42:49","date_gmt":"2023-04-10T13:42:49","guid":{"rendered":"https:\/\/oandgaccounting.com\/staging\/?p=4288"},"modified":"2023-04-13T14:34:21","modified_gmt":"2023-04-13T14:34:21","slug":"snag-a-sweet-tax-credit-with-a-previously-owned-clean-vehicle","status":"publish","type":"post","link":"https:\/\/oandgaccounting.com\/staging\/snag-a-sweet-tax-credit-with-a-previously-owned-clean-vehicle\/","title":{"rendered":"Snag a Sweet Tax Credit with a Previously Owned Clean Vehicle"},"content":{"rendered":"<div class=\"onefivequestion\">\n<div class=\"container py-4 text-left\">\n<p>2023 is here, and with it comes the opportunity to save some serious cash by purchasing a qualified used <a href=\"https:\/\/afdc.energy.gov\/laws\/electric-vehicles-for-tax-credit\" rel=\"noopener\" target=\"_blank\">electric vehicle (EV)<\/a> or <a href=\"https:\/\/afdc.energy.gov\/vehicles\/fuel_cell.html\" rel=\"noopener\" target=\"_blank\">fuel cell vehicle (FCV)<\/a>. If you&#8217;ve been eyeing one of these eco-friendly rides, you might just be in luck! The IRS is offering a<a href=\"https:\/\/www.irs.gov\/newsroom\/topic-d-frequently-asked-questions-about-the-eligibility-rules-for-the-previously-owned-clean-vehicles-credit\" rel=\"noopener\" target=\"_blank\"> Previously Owned Clean Vehicle Credit<\/a> that could put up to $4,000 back in your pocket. So, buckle up and let&#8217;s dive into the details!<\/p>\n<p><p><strong>1.\tUsed Clean Vehicle Credit: <\/strong>The Basics Starting January 1, 2023, if you buy a qualified used EV or FCV for $25,000 or less from a licensed dealer, you may be eligible for a tax credit worth 30% of the sale price, up to $4,000. Keep in mind, this <a href=\"https:\/\/apps.irs.gov\/app\/vita\/content\/globalmedia\/teacher\/nonrefundable_credits_4012.pdf\" rel=\"noopener\" target=\"_blank\">credit is nonrefundable<\/a>, which means you can&#8217;t get more back on the credit than you owe in taxes. Sorry, no carryovers to future tax years either.<\/p>\n<p><strong>2.\tWho Qualifies for the Credit You may be eligible for this credit if you: <\/strong><\/p>\n<ul>\n<li>Purchase a previously owned, qualified EV or FCV for personal use (no reselling!) <\/li>\n<li>Aren&#8217;t the original owner <\/li>\n<li>Aren&#8217;t claimed as a <a href=\"https:\/\/www.irs.gov\/help\/ita\/whom-may-i-claim-as-a-dependent\" rel=\"noopener\" target=\"_blank\">dependent<\/a> on someone else&#8217;s tax return <\/li>\n<li>Haven&#8217;t claimed another used clean vehicle credit in the past 3 years Oh, and there are income limitations, too. <\/li>\n<\/ul>\n<p><strong>Your <a href=\"https:\/\/apps.irs.gov\/app\/IPAR\/resources\/help\/MAGI.html\" rel=\"noopener\" target=\"_blank\">modified adjusted gross income (AGI)<\/a> can&#8217;t exceed: <\/strong><\/p>\n<ul>\n<li>$150,000 for married filing jointly or a surviving spouse <\/li>\n<li>$112,500 for heads of households <\/li>\n<li>$75,000 for <a href=\"https:\/\/apps.irs.gov\/app\/understandingTaxes\/hows\/tax_tutorials\/mod05\/tt_mod05_03.jsp\" rel=\"noopener\" target=\"_blank\">all other filers<\/a><\/li>\n<\/ul>\n<p><strong>3.\tQualified Vehicles and Sales To qualify, your new-to-you vehicle must: <\/strong><\/p>\n<ul>\n<li>Have a sale price of $25,000 or less<\/li>\n<li>Be at least 2 years older than the calendar year of purchase (e.g., a 2021 model or older if purchased in 2023) <\/li>\n<li>Not have been transferred after August 16, 2022, to a qualified buyer <\/li>\n<li>Weigh less than 14,000 pounds <\/li>\n<li>Be an eligible FCV or plug-in EV with a battery capacity of at least 7 kilowatt-hours <\/li>\n<li>Be used primarily in the United States And remember, the sale only qualifies if you buy the vehicle from a dealer.<\/li>\n<\/ul>\n<p><strong>4.\tHow to Claim the Used Clean Vehicle Credit Ready to cash in on that sweet credit? <\/strong>Just complete <a href=\"https:\/\/www.irs.gov\/forms-pubs\/about-form-8936\" rel=\"noopener\" target=\"_blank\">Form 8936<\/a>, Qualified Plug-in Electric Drive Motor Vehicle Credit (Including Qualified Two-Wheeled Plug-in Electric Vehicles and New Clean Vehicles), and file it with your tax return for the year you took possession of the vehicle. Don&#8217;t forget to include the <a href=\"https:\/\/www.nhtsa.gov\/vin-decoder#:~:text=Under%20NHTSA's%20regulations%2C%20each%20motor,information%20encoded%20in%20the%20number.\" rel=\"noopener\" target=\"_blank\">vehicle identification number (VIN)<\/a> on the form!<\/p>\n<p>It&#8217;s time to go green and save some green! With the Previously Owned Clean Vehicle Credit, you can not only help the environment but also enjoy some extra cash in your wallet. So, start shopping for that perfectly used EV or FCV and take advantage of this amazing tax credit opportunity. Happy driving!<\/p>\n<p><script async src=\"https:\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-3039986354638252\"\n     crossorigin=\"anonymous\"><\/script><br \/>\n<ins class=\"adsbygoogle\"\n     style=\"display:block; text-align:center;\"\n     data-ad-layout=\"in-article\"\n     data-ad-format=\"fluid\"\n     data-ad-client=\"ca-pub-3039986354638252\"\n     data-ad-slot=\"8101689985\"><\/ins><br \/>\n<script>\n     (adsbygoogle = window.adsbygoogle || []).push({});\n<\/script><\/p><\/div>\n","protected":false},"excerpt":{"rendered":"<p>2023 is here, and with it comes the opportunity to save some serious cash by purchasing a qualified used electric vehicle (EV) or fuel cell vehicle (FCV). If you&#8217;ve been eyeing one of these eco-friendly rides, you might just be in luck! The IRS is offering a Previously Owned Clean Vehicle Credit that could put &hellip; <a href=\"https:\/\/oandgaccounting.com\/staging\/snag-a-sweet-tax-credit-with-a-previously-owned-clean-vehicle\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;Snag a Sweet Tax Credit with a Previously Owned Clean Vehicle&#8221;<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":4153,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[1],"tags":[],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.6 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Snag a Sweet Tax Credit with a Previously Owned Clean Vehicle - O&amp;G Tax and Accounting<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/oandgaccounting.com\/staging\/snag-a-sweet-tax-credit-with-a-previously-owned-clean-vehicle\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Snag a Sweet Tax Credit with a Previously Owned Clean Vehicle - O&amp;G Tax and Accounting\" \/>\n<meta property=\"og:description\" content=\"2023 is here, and with it comes the opportunity to save some serious cash by purchasing a qualified used electric vehicle (EV) or fuel cell vehicle (FCV). 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