EV Federal Tax Credit for 2021 Tesla

[chadlasota]

I purchased my Tesla Model Y in late Feb. 2021. On the website at the time it said there was still a $2000 Federal tax credit available. Now, when I am filing my taxes through TurboTax it says that the credit is no longer available. Which I don't understand because I purchased it when it was and couldn't file for it until 2022. Does anyone know why?

[AnnetteB6 · Accepted solution]

The Federal tax credit for Tesla vehicles was phased out to zero at the end of 2019.  Any vehicles purchased after that date are no longer eligible for the Federal credit due to the number of vehicles manufactured.  So, based on the date of your purchase, TurboTax is correct stating that the credit is not available for your vehicle.

However, there may be a state incentive that is available.

Take a look at the following article for more information:  Electric Vehicle & Solar Incentives