To qualify for the federal Electric Vehicle (EV) tax credit, there are specific income limits based on your filing status. These limits apply to both new and used electric vehicles, though the limits differ slightly for used EVs.
Income Limits for New EVs:
- Single Filers: Your modified adjusted gross income (MAGI) must not exceed $150,000.
- Married Filing Jointly or Surviving Spouse: MAGI must not exceed $300,000.
- Head of Household: MAGI must not exceed $225,000.
Income Limits for Used EVs (as of some sources, though recent updates suggest this may vary):
- Single Filers: MAGI must not exceed $75,000.
- Married Filing Jointly or Couples: MAGI must not exceed $150,000.
- Head of Household: MAGI must not exceed $112,500.
The IRS allows you to use either the MAGI from the year you take delivery of the vehicle or the previous year’s MAGI to determine eligibility.
Note that the tax credit itself can be up to $7,500 for new vehicles, depending on whether the vehicle meets certain battery and sourcing requirements.
Original article by NenPower, If reposted, please credit the source: https://nenpower.com/blog/what-are-the-income-requirements-for-federal-ev-tax-credits/
