Electric Vehicle Tax Credit Phase out Calculation is Wrong!!

[aliveli4950]

I was excited that the form 8936 was ready online today. However when I entered my information I realized that Turbotax miscalculates the credit. I purchased a Tesla in October 2019. I entered all the information Turbotax claims $7500 credit. In reality due to phase out it should be $7500x 25%= $1,875. 

This will create a huge problem for everybody. Turbotax please fix this ASAP.  

[CatinaT1]

Form 8936 Issue Known

[rgstroud]

I got the update to Turbotax today and now it is undercalculating my credit.  I bought A Tesla model 3 on June 10th.  I should get $3750 (half the $7500).  That was what I overrided the amount the first time and the return was still rejected.  Now the update says I only get $1875 (only 25% which is only true if you bought the car after Jun 30th).  Now when I override the number back to $3750, Turbotax does not accept my override and still uses the $1875!   HELP!!!

Richard

[DoninGA]

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@rgstroud wrote:

I got the update to Turbotax today and now it is undercalculating my credit.  I bought A Tesla model 3 on June 10th.  I should get $3750 (half the $7500).  That was what I overrided the amount the first time and the return was still rejected.  Now the update says I only get $1875 (only 25% which is only true if you bought the car after Jun 30th).  Now when I override the number back to $3750, Turbotax does not accept my override and still uses the $1875!   HELP!!!

Richard

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Delete the form 8936 and re-enter.

[rgstroud]

Never mind.  I figured out you have to put in the maximum credit for the form to calculate from So if you put the $7500 maxim.  Turbotax will now calculate based on the purchase date the %50 and gave me the correct credit calculation.  Thanks,

Richard

[Joe M]

rgstroud

Thanks that worked. It is not intuitive. Between this and other challenges TT is not doing a good job this year. Very possible some folks will under credit themselves.