Claiming the maximum qualified plug-in electric drive motor vehicle credit in Lacerte

This article explains how to claim the maximum credit amount for business/investment use of an electric vehicle on Form 8936.

• The maximum amount of the credit for business/investment use part of an electric vehicle is $2,500.
• Additional amounts can be added to the base amount if certain conditions are met.
  • The additional credit is available for vehicles with at least four wheels and a capacity of more than 5 kilowatt hours.
• The credit maximum increases incrementally $417 per additional kilowatt-hour in excess of 5 hours, up to a maximum of $7,500.

How to claim the additional credit amount for tax year 2023 and newer

How to claim the additional credit amount for tax year 2022 and prior

1. Go to Screen 34, General Business & Vehicle Credits.
2. Scroll down to the section Clean Vehicle Credit.
3. Under subsection Form 8936, enter the Kilowatt hour capacity (x.xxx) for the vehicle.

For more information

• See IRC Section 30D, Plug-In Electric Drive Vehicle Credit
• For information on inputs to generate Form 8936, see Generating Form 8936 for a vehicle that isn't two- or three-wheeled