Generating Form 8936, Clean Vehicle Credit in ProConnect Tax

This article will help you generate Form 8936 in any tax module. If the information is for a passthrough or business activity, you need to indicate this in the program. See the additional set of instructions here.

For more Schedule C resources, check out our Tax topics page for Schedule C where you'll find answers to the most commonly asked questions.

Select your desired tax module to see steps:

New for Form 8936 for tax year 2023:

• A new clean vehicle credit for new electric vehicles meeting specific requirements
• A credit for previously owned clean vehicles
• A credit for qualified commercial clean vehicles

Tax-exempt and governmental entities may also elect to treat their credits as a payment of income tax. However, credit for plug-in electric-drive motor vehicles is no longer available for vehicles placed in service after 2022 and final assembly of the vehicle must occur within North America for vehicles purchased after August 16, 2022. See here for more details.

Individual

1. Go to the Input Return tab for the appropriate client.
2. From the table of contents, select Credits, then select General Business and Vehicle Cr.
3. Select the Vehicle tab to get to the Clean Vehicle Credits (8936) section.
4. Complete all fields in the Vehicle Details subsection
5. Continue answering the questions presented in this section in the order indicated by your selections.
6. Follow the directions on the input screen until you complete the input and generate the form, or until you see Stop here which indicates the vehicle doesn't qualify for a credit.
   • If Part II is needed, an entry is required for tentative credit amount to generate the form.

Partnership

1. Go to the Input Return tab for the appropriate client.
2. From the table of contents, select Schedule K, then select Credits.
3. From the Credits section, select Clean Vehicle Credits.
4. Complete all fields in the Vehicle Details subsection.
5. Continue answering the questions presented in this section in the order indicated by your selections.
6. Follow the directions on the input screen until you complete the input and generate the form, or until you see Stop here which indicates the vehicle doesn't qualify for a credit.
   • If Part II is needed, an entry is required for tentative credit amount to generate the form.

Corporate

1. Go to the Input Return tab for the appropriate client.
2. From the table of contents, select Credits, then General Business Credits (3800).
3. From the General Business Credits (3800) section, select Clean Vehicle Credits.
4. Complete all fields in the Vehicle Details subsection.
5. Continue answering the questions presented in this section in the order indicated by your selections.
6. Follow the directions on the input screen until you complete the input and generate the form, or until you see Stop here which indicates the vehicle doesn't qualify for a credit. 

S-Corp

1. Go to the Input Return tab for the appropriate client.
2. From the table of contents, select Schedule K, then select Credits.
3. From the Credits section, select Clean Vehicle Credits.
4. Complete all fields in the Vehicle Details subsection.
5. Continue answering the questions presented in this section in the order indicated by your selections.
6. Follow the directions on the input screen until you complete the input and generate the form, or until you see Stop here which indicates the vehicle doesn't qualify for a credit.