Federal Electric Vehicle (EV) Tax Credit
For federal EV tax credits, there are income limits that affect eligibility. These limits apply based on your modified adjusted gross income (MAGI) and vary depending on your tax-filing status:
- New Vehicles:
- Married Filing Jointly: $300,000
- Head of Household: $225,000
- All Other Filers: $150,000
- Used Vehicles:
- Married Filing Jointly: $150,000
- Head of Household: $112,500
- Single and Married Filing Separately: $75,000
State EV Tax Credits
While the search results do not provide specific income limits for state EV tax credits, they can vary significantly by state. Some states do not have income limits for their EV incentives, while others might have specific requirements based on income or other factors. It is essential to check with your state’s tax authority or department of motor vehicles for detailed information on their EV tax credits and income eligibility criteria.
Key Considerations
- Using Prior Year’s Income: If your income exceeds the limits in the year you purchase the vehicle, you can use your prior year’s MAGI if it was below the threshold to qualify for the federal credit.
- Eligibility Requirements: Besides income limits, other factors like vehicle eligibility (e.g., battery size and production requirements) can impact federal tax credit eligibility.
Original article by NenPower, If reposted, please credit the source: https://nenpower.com/blog/are-there-any-income-limits-that-affect-eligibility-for-both-federal-and-state-ev-tax-credits/
