Electric Vehicle Charging Station Tax Credit Retroactively Extended

Prior to 2018, taxpayers were allowed a tax credit for the costs incurred related to installing an electric vehicle (EV) charging station in their primary home.  This tax credit expired the end of 2017.

However, little known to many taxpayers, the EV charging station tax credit was extended retroactively back to 2018 and through the 2020 tax year.  This retroactive extension of the EV tax credit was included in a tax bill that passed in December 2019.

The amount of the qualifying tax credit equals 30% of the EV charging station’s installation costs in the taxpayer’s main home, capped at a max tax credit amount of $1,000.  Additionally, if the location of your main home changed during the tax year and you placed personal use refueling property in service at both locations during the tax year, you are allowed to claim the tax credit on both homes resulting in a potential max credit in the amount of $2,000.

If you purchased an EV charging station in either 2018 or 2019 (or 2017 as well) and neglected let your tax preparer know about the installation costs associated with this purchase, please email helpdesk@schwartzaccountants.com and we can amend your federal tax return to claim the tax credit for the applicable year.

Massachusetts Offers Rebates for Electric Vehicles (MOR-EV) Program Reinstated

For Residents of Massachusetts, another electric vehicle incentive program was reinstated beginning January 2020.  The rebate program had previously expired September 30, 2019.

As stated on the Mass.gov website, “The Department of Energy Resources’ Massachusetts Offers Rebates for Electric Vehicles (MOR-EV) program which had expired on September 30th, 2019, has been re-opened. Starting on January 1, 2020, MOR-EV will be extended to support qualifying battery electric vehicles (BEVs) and fuel cell electric vehicles (FCEVs) up to a $50,000 final purchase price with a $2,500 rebate. Additionally, plug-in hybrid electric vehicles (PHEVS) with an all-electric range of 25 miles or greater and with a final purchase price up to $50,000 are eligible for a $1,500 rebate. Rebates will not be made available to purchases made prior to January 1, 2020.”

From the Mor-EV website, “To qualify for a rebate, submit a MOR-EV application:

  1. Within 3 monthsof the purchase or lease date of a new vehicle with a purchase price less than $50,000.
  2. Aftertaking possession of the vehicle
  3. Prior tothe exhaustion of rebate funds. Rebates are subject to available funding and will be processed on a first come, first served basis.”

 A listing of qualifying vehicles can be found at:https://mor-ev.org/eligible-vehicles

To begin the application process for the rebate, please visit https://mor-ev.org/