Electric Vehicle tax credits/rebates

[Rzop]

Does the purchase of a 2023 Chevy Bolt in November, 2022 subject to a federal tax credit for the 2022 tax year?

Is the Pennsylvania Electric Vehicle rebate subject to federal or Pennsylvania income tax in 2022 if you received a Form 1099?

Is there a credit/rebate of any kind for the installation of a 220V charger and or the charger itself for the 2022 tax year?

Thank you

[Vanessa A]

1.  No, the Chevy Bolt does not qualify for the 2022 EV Tax Credit.

2. Yes, the PA Electric Vehicle Rebate is taxable. 

3. Yes, there is a Alternative Fuel Vehicle Refueling Property Credit for the installation of the charger in your home. This is a nonrefundable credit which means it can bring your tax liability down to $0, but will not give you a refund of money other than what you paid in. To apply for this credit in TurboTax select the following:

• Federal 
• Deductions and Credits
• Show More next to Cars and Other things you Own
• Start next to Energy Efficient Vehicle Charging Station.

The maximum credit is $1,000 or 30% of the installation cost, whichever is less. 

[Rzop]

Thank you Vanessa.

I just want to ask again about the credit for installing the charger.  I thought that credit expired in 2021.

The form was updated because you can file retroactively for a prior tax period.  Was this credit extended to 2022?

Also, just wanting to insure that the Pennsylvania electric vehicle rebate is also taxable for Pennsylvania income tax purposes.

Many thanks

[JohnW152]

No, the credit for electric charging stations installed in your home or business has been extended, through tax years ending before January 1, 2033.

Please see the TurboTax blog Inflation Reduction Act of 2022:  What it Means for You and Your Taxes for more information.

As far as Pennsylvania's Electric Vehicle Rebate being taxable, yes, it is.  See the documents available at ALTERNATIVE FUEL VEHICLE REBATE GUIDELINES 7200-FM-EPO0001 for more information.

According to those documents, [r]ebates issued as a part of this program are taxable income and may result in the issuance of a 1099 form for the taxable year in which you received the rebate if your rebate amount is greater than $600.

[Rzop]

Many thanks JohnW152.

[Rzop]

Vanessa and JohnW152 answered my questions.  This can be marked as an accepted solution.

Many thanks,

Rzop