Starting January 1, 2023, you can take advantage of an excellent opportunity to save on your next vehicle purchase. If you buy a qualified used electric vehicle (EV) or fuel cell vehicle (FCV) from a licensed dealer for $25,000 or less, you may be eligible for a used clean vehicle tax credit. This credit equals 30% of the sale price, up to a maximum of $4,000. It’s a great way to switch to a cleaner, more efficient vehicle while also saving money. Review the current guidelines below, and always verify your eligibility with a Certified Public Accountant.

To qualify for the used clean vehicle tax credit, ensure that your purchase meets specific criteria. The vehicle must be a qualified used EV or FCV, and the purchase price must not exceed $25,000. Additionally, the seller must provide you with information about the vehicle's qualifications at the time of sale. It is essential to work with a licensed dealer who is registered to report the necessary information to the IRS. If these conditions are met, you can enjoy significant savings on your tax return.

It's crucial to understand that the used clean vehicle tax credit is nonrefundable. This means that you cannot receive more back than you owe in taxes. If your credit exceeds your tax liability, you won't be able to apply the excess to future tax years. Therefore, it's essential to plan your purchase and tax filing accordingly to maximize your benefits.

Not all used vehicles are eligible for the clean vehicle tax credit. To qualify, the vehicle must be a used electric vehicle (EV) or fuel cell vehicle (FCV) that meets the price cap of $25,000. Make sure to check with your dealer for a list of eligible models and their specifications. This way, you can ensure that your new vehicle not only meets your needs but also qualifies for the tax credit.

Electric vehicles offer numerous benefits beyond the tax credit. They are environmentally friendly, reducing your carbon footprint and contributing to cleaner air. Additionally, EVs often have lower operating costs, including reduced fuel expenses and maintenance costs. By choosing a qualified used EV or FCV, you not only save money on your purchase but also invest in a sustainable future.

Don’t miss out on the opportunity to save with the used clean vehicle tax credit. Start your journey towards a more sustainable and cost-effective vehicle today. Visit your local licensed dealer to explore qualified used electric vehicles and fuel cell vehicles that fit your budget. Take advantage of this limited-time offer and drive away with savings!