Turbotax 2025 Clean Vehicle Credit Bug

Forum|Forum|4 months ago
January 23, 2026
2 replies
17 views

I'm using Turbotax 2025 and having a problem with the program correctly determining eligibility for the clean vehicle credit. I signed the purchase agreement and made a down payment on 9/29/2025 and took delivery on 10/21/2025. If I enter 10/21/2025 as the placed into service date, the program seems to ignore the purchase date and tells me I'm not eligible for the credit, even though the IRS regulations clearly state that eligibility is based on acquisition date with acquisition defined as entering into a binding written contract and making a payment on the vehicle.

Anyone else having this problem?

Karis_F

Level 7

I tested the Energy-Efficient Vehicles Credit area in TurboTax Online and TurboTax Desktop 2025 and was able to generate the credit using an acquisition date prior to September 30, 2025 and a placed in service date after that time.

Please respond in the comments if you continue to experience issues when entering information for this credit.

The New Clean Vehicle Credit is available for vehicles acquired on or before September 30, 2025 even if placed in service after that date. See this IRS article for details:

Clean Vehicle Tax Credits

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user17691990447Author

Level 4

Unfortunately, I'm still having the problem. Please note that I transferred the credit to the dealer at the time of purchase in case that makes a difference. If I enter the actual purchase date (9/29/2025) and placed into service date (10/21/2025), Turbotax subtracts $7500 from my federal refund amount and indicates that I don't qualify for the credit. If I change the placed into service date to 9/29/2025, it adds the $7500 back to my federal refund so it seems to be basing eligibility on the placed into service date, not the purchase date. Just as an additional note, the blue links in the step by step (for example "credit transfer information") don't work (nothing happens when I click on them).

There is another thread titled "Critical 2025 EV Tax Credit Calculation Flaw" started by another customer who encountered the same problem that includes more info that might be helpful.

Please let me know if there's any addition information I can provide to help you identify the required updates to the software.

Karis_F

Level 7

If you transferred the credit to the dealer in exchange for a lower price on the vehicle, you do not get the credit on your tax return. See the highlighted paragraph is this IRS article:

New Clean Vehicle Credit

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