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psteely22
New Member

Alternative Vehicle Refueling Property Credit Summary tells me my Personal portion is zero. This is not correct, how can I get it to register correctly?

I did not move in 2017 and this is not a business expense.  It was purchased and installed in 2017 so my personal portion should be 100%, but TurboTax is telling me it's zero.  How can I correct this so I can file?  Been waiting months for these forms to be available and now that they are, I still can't file.

1 Best answer

Accepted Solutions
Anita01
New Member

Alternative Vehicle Refueling Property Credit Summary tells me my Personal portion is zero. This is not correct, how can I get it to register correctly?

Most people don't realize that the Alternative Minimum Tax is calculating all the time behind the scenes in their return.  Part of the calculation is an amount called Tentative Minimum Tax and this amount limits many nonrefundable credits.  It is the amount beyond which you would owe AMT if you were to take the full amount of a nonrefundable credit.  

If your credit is limited by Tentative Minimum tax, as is the Alternative Vehicle Refueling Property credit, then you cannot take any credit amount that would result in in AMT.  You would only end up with the dollar for dollar increase in AMT for every dollar of decrease in regular tax, leaving no net effect on your tax liability calculation.


People read the limit on the credit as meaning they cannot take it in full if they are paying AMT, so they check line 45 of their 1040 and, if no AMT is showing, they believe AMT cannot be the reason for the credit being limited.  The real number that matters, though is on line 33 of the 6251, the Tentative Minimum Tax.  This is the number that limits refundable credits and is the reason no AMT appears on the 1040.

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13 Replies
karmadelic702
New Member

Alternative Vehicle Refueling Property Credit Summary tells me my Personal portion is zero. This is not correct, how can I get it to register correctly?

I have the same issue. Turbotax sent me an email a week ago letting me know it was fixed, but still does not work. I called Turbotax support yesterday and I was told to file now and save the deduction for next year. I thought the credit was extended only for 2017. Why would Turbotax give bad advice? They are a train wreck.
Anonymous
Not applicable

Alternative Vehicle Refueling Property Credit Summary tells me my Personal portion is zero. This is not correct, how can I get it to register correctly?

Maybe your tax liability is already Zero? Certain credits are refundable or partially refundable (like the Earned income credit or American Opportunity Credit) while others are non refundable and can only help to reduce your liability to zero.  This credit is a non refundable credit and thus can only be applied to your tax liability and not beyond that.  If you have no tax liability for the credit to be applied against, then TurboTax would say your personal portion is zero and the IRS instructions say to not file the form.    Here is an excerpt from the IRS instructions for form 8911....."If you can’t use part of the personal portion of the credit because of the tax liability limit, the unused credit is lost. The unused personal portion of the credit can’t be carried back or forward to other tax years."
darrenritchie82
New Member

Alternative Vehicle Refueling Property Credit Summary tells me my Personal portion is zero. This is not correct, how can I get it to register correctly?

Hi Mike, I am having the same issue with Form 8911 in TurboTax Online.  While I am due a refund for 2017, my total tax liability is definitely positive.  This should not be affecting the credit calculation unless TT is mixing up tax liability and refund/payment due, which are obviously completely different.

I share the original poster's frustration with this issue.  Form 8911 is pretty straightforward and the IRS released the final version almost two weeks ago.  I would just fill it out myself, but since you can't manually edit the forms in TT Online, we're stuck with this faulty calculation.  I've been happily using TurboTax for decades but I am just about to ask for a refund and use another provider.
Anonymous
Not applicable

Alternative Vehicle Refueling Property Credit Summary tells me my Personal portion is zero. This is not correct, how can I get it to register correctly?

darrenritchie82
New Member

Alternative Vehicle Refueling Property Credit Summary tells me my Personal portion is zero. This is not correct, how can I get it to register correctly?

Hi Mike, thanks for the reply.  I am concerned that the article you posted doesn't correspond to IRS language on Form 8911 (which I expect is mirrored on other nonrefundable credits).  Specifically, the claim that a nonrefundable credit "can’t be used to increase your tax refund or to create a tax refund when you wouldn’t have already had one" is imprecise at best and wrong at worst.  It muddies the distinction between total taxes owed and the additional payment or refund due at filing.  A nonrefundable credit cannot reduce your tax liability BELOW ZERO.  However, if your tax liability is positive but you are owed a refund due to over-withholding, a nonrefundable credit will increase the amount of the refund until your total tax liability reaches zero.

Here's a simplified example that is relatively close to my personal tax situation.  Let's say I spent $1,000 on an EV charging station for personal use.  Let's also say that my 2017 total tax liability before credits (Form 1040 line 44) is $20,000 and that I have another $5,000 credit for purchasing an electric vehicle (Form 1040 line 54c).  Lastly, assume I withheld $18,000 during 2017, so I am owed a $3,000 refund before applying this credit.

On Form 8911 Part I, I would enter the $1,000 cost of the charging station. Part II would be essentially empty since the equipment is for personal use.  In Part III, I would enter $300 (30% of $1,000) on lines 11 and 13, since $300 is below the $1,000 credit cap on line 12.  Line 14 would be my $20,000 tax liability ("Regular tax before credits", NOT "tax after refund" or similar).  Line 15b and c would be the $5,000 credit for my EV.  Line 16 would be $15,000, the remaining tax liability after the EV credit.  Assuming I don't fall under AMT, line 17 is zero and line 18 is $15,000.  Line 19 would be the smaller of my remaining tax liability or the $300 credit, or $300.  This would go to Form 1040 line 54 and would increase my refund by $300 to $3,300.

The amount of my refund appears nowhere in Form 8911.  All that matters is my tax liability, which in this case is positive and substantially larger than all of my tax credits.

TurboTax clearly is not making this calculation correctly.  I am not sure where the issue is, but many others are having the same problem since I am following at least half a dozen threads on this topic.  This is particularly frustrating since Form 8911 is quite simple, and although this credit was renewed at the last minute, it is not materially different from prior years.  I am forced to conclude that TurboTax simply hasn't bothered to find the problem and fix it yet despite multiple complaints.
bjones
New Member

Alternative Vehicle Refueling Property Credit Summary tells me my Personal portion is zero. This is not correct, how can I get it to register correctly?

Darren is right, I am in the same situation and if I work through the form manually I should be able to get the credit.
Anonymous
Not applicable

Alternative Vehicle Refueling Property Credit Summary tells me my Personal portion is zero. This is not correct, how can I get it to register correctly?

I am showing the form to be calculating correctly using different scenarios.  @darrenritchie82 I tried to mimic your numbers that you noted above and run into a situation where the tentative minimum tax becomes the culprit as to why no credit allowed.  It is very hard to speak for your individual tax situation but for those that are figuring the credit manually....are you figuring your tentative minimum tax as required for line 17 of form 8911? Excerpt from the instructions..."Although you may not owe alternative minimum tax(AMT), you must still figure the tentative minimum tax(TMT) to figure your credit. Complete and attach the applicable AMT form or schedule and enter the TMT on line 17".  This requires you to compute this on form 6251.
Anonymous
Not applicable

Alternative Vehicle Refueling Property Credit Summary tells me my Personal portion is zero. This is not correct, how can I get it to register correctly?

If you feel that it is just not calculating correctly, I suggest contacting a TurboTax Specialist so they can review your situation:  <a rel="nofollow" target="_blank" href="https://ttlc.intuit.com/questions/1899263">https://ttlc.intuit.com/questions/1899263</a>
rfkmichman
New Member

Alternative Vehicle Refueling Property Credit Summary tells me my Personal portion is zero. This is not correct, how can I get it to register correctly?

This credit is far more complicated than I had originally expected. You need to calculate your TMT on form 6251. This gets subtracted from your net regular tax (which is your tax minus credits, such as the EV credit). When I did this, my TMT was more than the Net reg tax and therefore, I do not qualify for the the credit
Anita01
New Member

Alternative Vehicle Refueling Property Credit Summary tells me my Personal portion is zero. This is not correct, how can I get it to register correctly?

Most people don't realize that the Alternative Minimum Tax is calculating all the time behind the scenes in their return.  Part of the calculation is an amount called Tentative Minimum Tax and this amount limits many nonrefundable credits.  It is the amount beyond which you would owe AMT if you were to take the full amount of a nonrefundable credit.  

If your credit is limited by Tentative Minimum tax, as is the Alternative Vehicle Refueling Property credit, then you cannot take any credit amount that would result in in AMT.  You would only end up with the dollar for dollar increase in AMT for every dollar of decrease in regular tax, leaving no net effect on your tax liability calculation.


People read the limit on the credit as meaning they cannot take it in full if they are paying AMT, so they check line 45 of their 1040 and, if no AMT is showing, they believe AMT cannot be the reason for the credit being limited.  The real number that matters, though is on line 33 of the 6251, the Tentative Minimum Tax.  This is the number that limits refundable credits and is the reason no AMT appears on the 1040.

View solution in original post

dankasprick83
New Member

Alternative Vehicle Refueling Property Credit Summary tells me my Personal portion is zero. This is not correct, how can I get it to register correctly?

Did this ever get resolved for you?

 

I'm running into the same issue. 

Pre5ton
Level 2

Alternative Vehicle Refueling Property Credit Summary tells me my Personal portion is zero. This is not correct, how can I get it to register correctly?

I'm also having this problem in the 2020 TurboTax Premier version.  I have significant taxable income, so not applying isn't related to AMT.

pattif12
Expert Alumni

Alternative Vehicle Refueling Property Credit Summary tells me my Personal portion is zero. This is not correct, how can I get it to register correctly?

The form has not been released by the IRS yet. See the attached list for the availability of the form. IRS Forms Availability

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