Clean Vehicle Tax Credit

[douglasc33]

I purchased a 2023 Tesla Model 3 Standard Range Rear wheel drive EV in December for personal use in the USA.  I went to government site to check for eligible vehicles for Clean Energy Tax Credit. I filled out the info they asked for and it said that my car qualifies for $7,500 tax credit. I'm doing my taxes now and when I fill the info in Turbo Tax it says my tax credit is only $3,583. Why is there a$3,917 difference or what am I doing wrong?

Federal Tax Credits for Plug-in Electric and Fuel Cell Electric Vehicles(Vehicles placed in service on or after April 18, 2023 and before January 1, 2024)Make Model ModelYear Vehicle Type Credit Amount MSRP Limit Assembled in N. America

Tesla
	Model 3 Standard Range Rear Wheel Drive	2022–2023

$7,500

$55,000

Updated 3/18/2024

Source: Internal Revenue Service

[MayaD]

The credit is nonrefundable, so you can't get back more on the credit than you owe in taxes. 

Review Form 8936 Clean Vehicle Credits. It is used to calculate electric vehicle (EV) and fuel cell vehicle (FCV) tax credits.

[douglasc33]

You can't carry tax credit forward to 2024

[MayaD]

Correct.

 Per IRS: You can't apply any excess credit to future tax years.

irs.gov