Need help on Qualified Plug-In Electric Vehicle Credit

[Vanessa A]

What help?

[markkramer1]

Turbotax calculates a credit of $4502 for my purchase in August 2019 of a 2020 Toyota Prius Prime Plug-In Hybrid vehicle. But two screens later, it says the Qualified Plug-In Electric Drive Motor Vehicle Credit is $0. I'm confused.

[Vanessa A]

Are you using the online version or the desktop version?

[Vanessa A]

Do you have a tax liability?

This is a nonrefundable credit.  This means your credit can not be greater than what is on line 12b of your 2019 form 1040.  If you do not have a tax liability you would not be eligible for the credit. 

[markkramer1]

Desktop version. I don't have any tax docs for income, etc., yet, given the date. All I have entered is a lot of deductions. Would that cause this strange behavior?

[DoninGA]

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@markkramer1 wrote:

Desktop version. I don't have any tax docs for income, etc., yet, given the date. All I have entered is a lot of deductions. Would that cause this strange behavior?

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If you have no income entered then you would not have any tax liability, so yes that is the cause.

[Vanessa A · Accepted solution]

Yes, once you enter your income, if you have a tax liability, you will see the credit. 

[markkramer1]

Thanks so much. I never imagined I could find expert help like this here. Have a great New Year!

[Rosie5]

I purchased a 2019 Tesla Model 3-Long Range, June 28, 2019, and anticipated an EV credit of $3,750.00 but after inputting the vehicle information it is showing a credit of $7,500.00 not $3,750.00. Is this correct or should I manually change the amount? I don't want Uncle Sam to come after me down the road. Thank you

[DaveF1006]

No that is not correct. it should be 1/2 of the maximum credit since Tesla sold it 200,000 car. I don't know how you entered your information but try these steps. 

1. Go to federal>deductions and credits>all tax breaks
2. Go to Cars and Other Things You Own select Show more
3. Go to Energy-Efficient Vehicles>select start
4. From here, answer the questions as they are being asked Be sure to enter the VIN for your Tesla
5. Once these are answered, you should only receive and 50% credit.  I went through these same steps in my sample program and it calculated correctly.

Note, If you tried to enter this directly on the form itself, you may try entering this in the program and not the form.

[Anonymous]

@DaveF1006 sorry bud, but there's a lot of people reporting miscalculations for the Energy-Efficient Vehicles. See my post here: https://ttlc.intuit.com/community/tax-credits-deductions/discussion/form-8936-2019-has-an-error/00/1...

I did exactly as you instructed, but it's (a) telling me my credit is $7,500 (should be $3,750) and (b) doing the math wrong on form 8936 and not multiplying 4a by 4b

[CatinaT1]

Form 8936 Issue Known

[CGQGTT]

Hi.  The form is not available still in Turbo Tax.  When are you going to fix this? 

[LinaJ2020]

We are aware of the issue and our team is in the processing of repairing it.  

This issue is projected to be fixed by 02/21/2020. You can sign up here to receive email notifications when updates related to this issue become available.

For more information, click here: Form 8936 calculations