Electric Vehicle Credit Update

[meechelle123]

Turbotax updated the electric vehicle credit form today but is now giving the incorrect credit amount. I purchased a Tesla is March 2019 but it is giving the credit as if I purchased after July.  There are different credit amounts and it is specifically listed on the IRS link that is included in the credit section.  This needs to be fixed AGAIN!

[Pre5ton]

I'm having the same problem.  It also will not let me manually edit the form to fill it out properly.  TurboTax needs to get it together.

[Capt Ron]

Ditto After installing the latest update deduction was dramatically reduced way below what the IRS page states is deductible 

[meechelle123 · Accepted solution]

I talked with an agent, if you delete the vehicle and re-add it fixed the problem for me.  Hope that works for you too!

[Pre5ton]

I tried that earlier and it said that the vehicle was eligible for a $0 credit. Deleting and re-adding did not resolve the problem for me. 

[CindyS]

The EV credit is not calculating properly.  When I delete the vehicle and then reenter it, the problem gets worse.

Turbo Tax--please advise

[AnnetteB6]

Be sure that you do not change the maximum credit amount shown on the screen, otherwise the calculation will not be correct.  

Here is the explanation:  

TurboTax will calculate your maximum credit based on the details entered for your vehicle and any applicable phase-out based on the purchase date. 

On the screen where it shows the amount of credit you qualify to receive, the box at the bottom of the page is showing the maximum credit that would have been allowed for your vehicle had a phase-out not applied.  Your credit may be limited by the phase-out.  If you change the number on that screen, your credit will not be calculated correctly.  

@CindyS

[HalwardRI]

I bought a Tesla Model 3 on 12/22/2019 and the credit should be $1875 but TT is taking that credit as the purchase price and reducing it by the phase-out percentage, and ends up showing a credit of $439.  Now what?

[VictoriaD75]

Be sure that you do not change the maximum credit amount shown on the screen, otherwise the calculation will not be correct.  

Here is the explanation:  

TurboTax will calculate your maximum credit based on the details entered for your vehicle and any applicable phase-out based on the purchase date. 

On the screen where it shows the amount of credit you qualify to receive, the box at the bottom of the page is showing the maximum credit that would have been allowed for your vehicle had a phase-out not applied.  Your credit may be limited by the phase-out.  If you change the number on that screen, your credit will not be calculated correctly.  

The information on the screen says this field is for adjusting the amount of maximum credit it is does not match the manufacturer's specification.  The number entered here will be the maximum credit that you may receive prior to any limitation being applied.  If you change it, your credit will be based on the number entered. 

[jfasold]

I checked the IRS site for my vehicle (2019 Mitsubitshi Outlander)  The IRS says credit should be $5,836.  Turbo Tax entered $6,587.  Should I change the amount to the IRS figure??

[JotikaT2]

No.

You should not adjust the credit amount.  You should just answer the applicable questions.

I recommend you review your input on each of the fields as your input does affect the credit calculation. 

You should make sure all of the information from the battery capacity, date purchased, and weight are entered accurately.  The credit will vary based upon your input. 

On the screen where it shows the amount of credit you qualify to receive, the box at the bottom of the page is showing the maximum credit that would have been allowed for your vehicle had a phase-out not applied. Your credit may be limited by the phase-out. If you change the number on that screen, your credit will not be calculated correctly. 

The amounts listed on the IRS website provide the maximum credit you could receive, but the actual credit is determined based upon your answers to the questions.