2023 Electric Vehicle Credit for buying 2 EV cars

[michellemt]

My husband and I both want to buy Tesla's. Can we claim two tax credits when we file 2023 taxes in a year? Is there anything specific we need to do to make sure we qualify for both vehicles? Can we put both cars in both our names? Or do we need to put one car in my name and one car in his name? I want to make sure that we qualify for both cars and don't make any paperwork mistakes that will cost us. Thank you

[MichaelG81]

Yes, you can claim two. Make sure each vehicle has both names on the title for both; or each name for each vehicle. 

In addition, your modified adjusted gross income (AGI) may not exceed:

• $300,000 for married couples filing jointly
• $225,000 for heads of households
• $150,000 for all other filers

@michellemt 

[yfhm]

Thanks @MichaelG81 for clarifying. Piggy backing on this question - the tax code says we can use this credit once in three years - so how does that jive with the ability to take two EV credits (on two cars) within a single year? Thank you

[NCperson]

@yfhm 

first, can you provide documentation that the credit can only be used once every three years pertaining to a NEW car? (that limitation relates to used cars only)  

https://www.irs.gov/newsroom/topic-a-frequently-asked-questions-about-the-eligibility-rules-for-the-...

Each Taxpayer can take advantage of the credit.  So if you are filing joint, EACH TAXPAYER (not each tax return) can take the credit

Q11. Can the new clean vehicle credit be split between multiple owners? (added March 31, 2023)

A11. No. In certain instances, multiple taxpayers may purchase, place in service, and be titled as owners of a single vehicle. For example, a married couple that files separate tax returns may jointly purchase and take possession of a new clean vehicle that qualifies for the credit and both be titled as owners of the vehicle. However, only one taxpayer can claim the new clean vehicle credit per vehicle placed in service, and the credit may not be allocated or prorated between multiple taxpayers. In the case of married taxpayers filing jointly, either spouse may be identified as the owner claiming the new clean vehicle credit.