How to Claim the Home Electric-Car Charging Station Tax Credit

Are you an environmentally conscious person? If you own an electric car, then you have chosen to make a positive impact on our planet. Once you own an electric car, it is important to consider installing a home charging station. One great advantage of owning a home charging station is that you may qualify for a tax credit from the government.

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However, claiming this credit can be a confusing process.

In this blog post, we will discuss the process of claiming the home electric-car charging station tax credit in simple terms, along with some key takeaways about the credit.

What is the Home Electric-Car Charging Station Tax Credit?

The Home Electric-Car Charging Station Tax Credit is a tax credit offered by the federal government to individuals who install electric-car charging stations at their residence. The credit is worth up to $1,000 or 30% of the cost of the charging station installation, whichever is less.

This credit is part of the Protecting Americans from Tax Hikes Act, also known as the PATH Act. The PATH Act is aimed at encouraging American families and businesses to invest in energy-efficient technology, such as electric cars and charging stations.

How to Claim the Credit

Here are the key steps to follow to claim the home electric-car charging station tax credit:

• Purchase an eligible home electric-car charging station.
• Install the charging station at your primary or secondary residence.
• Complete IRS Form 8911 - Alternative Fuel Vehicle Refueling Property Credit.
• Attach Form 8911 to your tax return for the year in which the charging station was installed.

It’s important to note that you must own the charging station in order to receive the credit. If you lease the charging station, you are not eligible for the credit.

Key Takeaways

If you are considering installing a home electric-car charging station, here are some key takeaways to keep in mind:

• The Home Electric-Car Charging Station Tax Credit is worth up to $1,000 or 30% of the cost of the charging station installation.
• The credit is available to individuals who install charging stations at their primary or secondary residence.
• You must complete IRS Form 8911 and attach it to your tax return to claim the credit.
• You must own the charging station in order to receive the credit.

Industry Statistics

According to a report from the DOE’s National Renewable Energy Laboratory (NREL), “75% of all electric vehicle drivers in the United States have access to charging stations at home, indicating that installation of charging stations may need to keep up with the anticipated growth.”

Another report by the Electric Power Research Institute (EPRI) states, “Installing a Level 1 charger (120V outlet) at a cost of just $200 could be enough for many drivers, yet almost 70% of EV drivers say they own a Level 2 charger (240V).”

Conclusion

By installing a home electric-car charging station, you are making a positive impact on the environment and potentially saving money through the Home Electric-Car Charging Station Tax Credit. Follow the steps outlined in this blog post to claim the credit on your tax return.

As the use of electric cars continues to grow, the importance of widespread installation of home charging stations becomes even more apparent.