Form 8834 - Qualified Electric Vehicle Credit

Use Form 8834 to figure the credit for qualified electric vehicles placed in service during the tax year.

The credit for each qualified electric vehicle is:

  • 10% of the vehicle's cost by any section 179 deduction, up to a maximum credit of $4,000, for eah qualified electric vehicle placed in service before 2006, and
  • 2.5% of the vehicle's cost reduced by any section 179 deduction, up to a maximum credit of $1000, for each qualified electric vehicle placed in service in 2006.

  • A qualified electric vehicle is any motor vehicle if all of the following apply:

  • Manufactured primarily for use on public streets, roads, and highways, and has at least four wheels.
  • Powered primarily by an electric motor drawing current from rechargeable batteries, fuel cells, or other portable sources of electrical current.
  • Originally used by you.
  • Acquired for your own use and not for resale.