This rejection happens when your clean vehicle VIN ("Vehicle Identification Number") does not match the IRS data for the Clean Vehicles sold . The IRS compares the information you enter for the VIN with what they have in their database. When the VIN is missing or mismatched, your return gets rejected.
Sellers of clean vehicles are required to file a Clean Vehicle Seller Report with the IRS and furnish a copy to the buyer/taxpayer in order for a vehicle to be eligible for a clean vehicle credit. The Clean Vehicle Seller Report is a detailed one page form that gives all the details to the IRS about the buyer, seller and the specific clean vehicle (VIN number, make, model, etc.).
What needs to be done: Find your Clean Vehicle Seller Report (dealer may have given you similar paperwork) and confirm the VIN number with the physical vehicle purchased. Any discrepancies in the VIN number should be brought up to the Seller of your vehicle. Review your return input to see if you missed typed the VIN. You can do this under Deductions and Credits, Cars and Other Things you Own and then review the input in the topic Energy-Efficient Vehicles. If your VIN does NOT match what you inputted fix the error and resubmit the return.
If the Vehicle Seller Report and TurboTax input match further steps are needed as follows:
1. Check the box near the VIN input that you certify the correct VIN and resubmit the return. Any Digit that looks like the Letter O should be entered as a Zero.
2. Confirm with your Seller that they filled with the IRS the Clean Vehicle Seller Report as the IRS will not issue you a credit without the proper information reported to the IRS. If you did not get a copy of the Clean Vehicle Seller Report (or something similar) it may mean you purchased an electric vehicle that is not eligible for a clean vehicle tax credit.
For example many new vehicles will not qualify as they were not assembled in North America. For previously-owned clean vehicles the purchase price must be under $25,000 and the model year cannot be less than two model years old. If you have any inputted vehicle information that does not qualify for a clean vehicle credit you can delete the vehicle in the Energy-Efficient Vehicles and proceed to resubmit your return for e-file.
