Credit for Electric Vehicle Charger

As discussed on pages 6 to 8 of the Tax Year 2022 M+O=CPE Individual Tax Year-End Workshop Reference Book, the credit for charging equipment for alternative fuel vehicles, such as electric vehicles or EVs, is claimed on Form 8911, Alternative Fuel Vehicle Refueling Property Credit.

The credit is available for the 2022 tax year, In 2023, the rules for the credit change.

As discussed on page 8 of the text, beginning in 2023, the credit will only be allowed for otherwise-qualified property that is placed in service in a low-income census tract or an area other than one designated as an urban area by the Secretary Commerce. The IRS is expected to issue future guidance to help taxpayers to determine whether they are located in such qualified areas. Until then, practitioners should warn their clients that further guidance is needed before determining whether a client is qualified for the credit.