Hi kc-bbq,
In general, it does not matter where is your income source as long as you have tax liability, for example, tax year 2022 form 1040, line 22, for qualified EV credit to offset to zero. Unused EV credit is lost and cannot carry forwards.
Quote
Starting in 2024, the Inflation Reduction Act establishes a mechanism that will
allow car buyers to transfer the credit to dealers at the point of sale so that it can directly reduce the
purchase price.
Unquote
https://home.treasury.gov/system/files/136/EV-Tax-Credit-FAQs.pdf
However, under recapture rules, if the credit is transferred to the dealer, and the taxpayer's Adjusted Gross Income exceeds the limitation amounts, the taxpayer must pay back the benefit he or she received from the dealer by increasing his or her tax liability accordingly.
Please income limits per below links.
Credits for New Clean Vehicles Purchased in 2023 or After
https://www.irs.gov/credits-deductions/credits-for-new-clean-vehicles-purchased-in-2023-or-after
Hope this helps. Thank you.
Kochu Kitty
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