S-CORP BOUGHT A ELECTRIC VAN FOR $80000 HOW TO FIGURE TAX CREDIT OUT? HOW TO CHECK ELIGIBILTY TO TAKE $40000? HOW TO FILE TAX CREDIT ON 1120-S

[HOPE2]

Hi to community.

S-Corp bought an electric van with gross vehicle weight rating (GVWR) is
14,000 pounds or more in 2023 for $80000 and I want to be ready how to file EV credit up to $40000 as a commercial vehicle. I would like first to know how to find out the max credit for S-Corp? Do we have any link or tax form to put data and show me the max credit? And how to file it on 1120-S?

 However, the credit is determined by the lesser of 15% of your basis in the vehicle (this increases to 30% if the vehicle isn’t powered by gas or diesel) OR the incremental cost of the vehicle. The incremental cost of the vehicle is determined by the excess cost of the qualified vehicle over a comparable vehicle (nonqualified). So for example, if a qualified vehicle costs $140,000 but a comparable vehicle costs $100,000, the incremental cost would be $40,000.

I would say I could not find form 8936-A.

So, please help to walkthrough for each part if you already have had this experience.

[TaxGuyBill]

I don't have experience with it, but the Forms Finder seems to indicate that the program does not have the form.

https://accountants.intuit.com/supported-tax-forms/

As for how to calculate the credit, you can find the Form and the Instructions on the IRS website, plus you need the DOE guide for the "incremental cost".  Below are the links to the 2022 Forms and Instructions, link to the Draft 2023 Forms and Instructions, and the 2023 DOE guide.

https://www.irs.gov/forms-pubs/about-form-8936-a

https://www.irs.gov/draft-tax-forms

https://www.energy.gov/sites/default/files/2023-12/2023.12.18%20Incremental%20Purchase%20Cost%20Meth...

[sjrcpa]

Note that the credit will pass through to the shareholders on their K-1s.

[HOPE2]

Thanks, if you filed for this credit for an S-Corp please walk through lead me how to file it.

[HOPE2]

Thanks, you mean Proseries 1120-S does not support 8936 and its schedule? I think last year some tax practitioners have had this problem with Proseries. If for this tax season Proseries does not handle it, I have to shift to the other software like green one. How can I ask them  why Proseries does not cover it?