EVSE charger tax credit - question on "Eligible expenses to claim" - Paid in 2 different years - Using Form 8911 in turbotax

[Rikky]

Hi, 

Am filing for EV charger credit in Turbotax  (form 8911) -  residential install. 

Question is on amount of "Eligible Expenses to Claim". 

Can I claim both of these or only one for the charging station: 

Cost of the JuiceBox 32 charging station (paid in 2022) + Cost of electrician work (Paid in 2021).   

The detailed situation is: -

1. Electrician installed new wiring from the basement electric panel to my garage in April 2021 - I paid him at that time in 2021 itself. I could not apply any tax credit for it.   

 2. I bought and installed JuiceBox 32A charger in Nov 2022, after I bought RAV4 Prime PHEV  in Oct 2022. 

So its basically paid in 2 different years. Now, I am filing for EV charger credit:

- Can I include the electrician install charges (paid in 2021 - never claimed for tax credit), and the cost for EV charger (Paid in Nov 2022) to get the 2022 EV charger credit ? Or do I have to remove the cost of 2021 electrician install, and only apply for the 2022 cost of EV charger. 

Thanks so much for your help in advance!    

Rikky

[AnnetteB6 · Accepted solution]

Yes, include both the cost of the electrical work and the cost of the charger itself.  

The only guidance found with regard to whether the cost of the electrician (paid in a previous year) as well as the charger itself (paid in the current tax year) could both be used for the credit did not really address the question directly.

Since the electrical work was required in order to use the charger, it makes sense that it is part of the cost of the installation.  You would not have been able to claim the electrical work in the previous tax year because the charging equipment was not placed in service until 2022.  

The following information comes from TurboTax help content with regard to the qualifications for claiming the Form 8911 credit:

The property was placed in service during the tax year
* The original use of the property began with the taxpayer (i.e. the property is new)
* The property is used predominately within the United States
* If the property is not business/investment use property, it is installed as part of the taxpayer's main home
* Property placed in service after 2022 must be located in an eligible census tract (see instructions for more details)

One word of caution, you may find that TurboTax states that you are not eligible to claim the credit.  If this happens, it will most likely be due to the tentative minimum tax (Alternative Minimum Tax) that is calculated as part of your return.  Even if you are not subject to AMT, this calculation does prevent many taxpayers from being able to claim this credit.