You are correct, the calculation is 30% of the cost for the qualified property placed in service during the tax year.
However, the credit is limited to your taxable income.
If you do not owe any tax, any unused credit is lost.
You can check your tax due based upon your input so far by doing the following:
-
Select the left black panel of TurboTax and select Tax Tools.
-
Then select Tools beneath Tax Tools.
-
A "Tools Center" box will pop up, select "View Tax Summary"
-
You will see a screen that gives a snapshot of your taxes based upon your input so far.
-
Pay attention to the Total tax line. If the total tax is zero, this is why it is showing your fuel credit as zero.
-
Select back in the black panel on the left to get back to the interview screens.
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
